White House Confirms Tariffs on Mexico, Canada, and China, Hitting Bitcoin Market
In a familiar turn of events, Bitcoin’s recent rally took a hit after the White House confirmed that President Trump’s promised tariffs on Mexico, Canada, and China will take effect tomorrow, quashing hopes raised by a report suggesting a delay.
To recap, President Trump announced on Thursday that starting February 1, 25% tariffs would be imposed on imports from Mexico and Canada. Prior to this news, Bitcoin (BTC) had surged past $106,000, but the announcement quickly triggered a 2% dip, bringing the cryptocurrency back to the $104,000 mark. U.S. stocks, after showing early promise, gave back some of their gains but still closed in positive territory.
Then, on Friday, a Reuters report suggested that the tariffs might be postponed until March 1, with a process to allow countries to apply for exemptions for specific exports. However, the White House swiftly denied the report, with Press Secretary Karoline Leavitt telling reporters that the tariffs—along with a 10% levy on China—will indeed go into effect tomorrow.
Bitcoin, which had briefly surpassed $106,000 once again and looked poised to challenge the $109,000 mark, took another downturn following the tariff confirmation. As of press time, Bitcoin was trading just under $103,000, reflecting a 2.3% drop over the past 24 hours.
In the broader market, the CoinDesk 20 Index fell 1.3%, though it was buoyed by a 1.2% gain in Ethereum (ETH). Traditional U.S. stock markets remained slightly higher, but well off their earlier session highs.
