Bitcoin dropped below $100K after briefly touching $103K after its apocalyptic fall to $93K. This development was sparked by Donald Trump’s vigorous tariff deployment on Mexico and Canada, which briefly sparked a rising trade war. However, the heated political matters soon conclude, helping Bitcoin stabilize and gain momentum again. In the middle of this, will BTC continue to surge higher than ever? Let’s find out.
Also Read: US Stocks: Which Was Hit the Hardest by Trump’s Tariffs?
Trump’s Aggressive Tariff Policy Commences
Donald Trump recently announced his plans to implement 25% tariffs on Canada and Mexico. This development has sparked a rising trade war between the nations, which, in the end, hit Bitcoin hard in the process. Soon after the announcement, Bitcoin plunged to $94K, as the rising trade war narrative started to gain steam.
However, the development took a positive turn soon after when Canadian PM Justin Trudeau announced a new elemental change. He took to X to share how he had a conversation with Trump on the recent tariff controversy, with both nations deciding to halt the tariff implementation for 30 days.
“I just had a good call with President Trump. Canada is implementing our $1.3 billion border plan—reinforcing the border with new choppers, technology, and personnel; enhanced coordination with our American partners; and increased resources to stop the flow of fentanyl. Nearly 10,000 frontline personnel are and will be working on protecting the border.”
I just had a good call with President Trump. Canada is implementing our $1.3 billion border plan — reinforcing the border with new choppers, technology and personnel, enhanced coordination with our American partners, and increased resources to stop the flow of fentanyl. Nearly…
— Justin Trudeau (@JustinTrudeau) February 3, 2025
A similar approach was also deployed by Mexico, where President Trump tweeted that the Mexican president, Sheinbaum, will also be facilitating plans to restrict fentanyl transport to the US.
I just spoke with President Claudia Sheinbaum of Mexico. It was a very friendly conversation wherein she agreed to immediately supply 10,000 Mexican Soldiers on the Border separating Mexico and the United States. These soldiers will be specifically designated to stop the flow of…
— Donald J. Trump Posts From His Truth Social (@TrumpDailyPosts) February 3, 2025
In addition to this, China has also imposed 10% to 15% tariffs on US oil further impacting BTC in the process.
JUST IN: 🇨🇳🇺🇸 China to impose 10-15% tariffs on US oil, agricultural equipment, coal, and LNG.
— Watcher.Guru (@WatcherGuru) February 4, 2025
Also Read: Jim Cramer Calls Walmart (WMT) Stock “Amazing”: Here’s Why
Will Bitcoin Continue To Tank Or Surge Amid Rising Global Trade Changes?
While Bitcoin at press time has fallen below $99K, technical platforms like CoinCodex predict how BTC may continue to gain ground by the end of February 2025.
“According to our current Bitcoin price prediction. The price of Bitcoin is predicted to rise by 30.00% and reach $ 131,436 by March 6, 2025. Per our technical indicators, the current sentiment is neutral while the Fear & Greed Index is showing 44 (fear). Bitcoin recorded 15/30 (50%) green days with 4.00% price volatility over the last 30 days. Based on the Bitcoin forecast, it’s now a good time to buy Bitcoin.”
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