Bitcoin (BTC) and several top cryptocurrencies rallied on Wednesday after President Donald Trump announced the United States (US) would pause its reciprocal tariff on 75 countries following their failure to retaliate and the opening of negotiations with key government agencies.
In a Truth Social post on Wednesday, President Trump announced that the US would pause reciprocal tariffs on 75 countries due to their "non-retaliating" stance and negotiations with key government agencies. The announcement comes one week after Trump initially announced reciprocal tariffs on over 180 countries.
"These Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately," wrote Trump.
However, the pause didn't get to reach Chinese goods, as Trump declared that the US will raise China's tariff to 125% in response to its 84% tariff on US goods.
"Based on the lack of respect that China has shown to the World's Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately," Trump added.
Following the announcement, Bitcoin soared above the $80,000 mark, with a daily gain of over 6% at press time.
Other top cryptos also flipped their losses into gains, with Ether (ETH), XRP and Solana (SOL) rallying about 10% on the day.
Top cryptocurrencies. Source: CoinGecko
Several crypto categories also sparked green with meme coins, decentralized finance (DeFi), Real World Assets (RWA) and Artificial Intelligence (AI) categories surging by an average of 7%. Dogecoin (DOGE), HYPE, ONDO, RENDER and PEPE are all up on the daily timeframe by 10%, 25%, 20%, 17% and 15%, respectively.
The rally in crypto mimics that of the global stock market, where major tech stocks, including NVIDIA, Tesla and Apple, saw gains of over 12% after Trump announced the tariff pause. The Nasdaq-100 is up by over 10% on Wednesday — on track to record its largest gains since 2008 and fourth-best trading day in history.
The S&P 500 is also having a field day, gaining more than 8% in the daily timeframe.