Bitcoin Surges Past $82K as Tariff Pause Boosts Interest in Decentralized Finance
Bitcoin edged higher on Wednesday, defying broader market volatility, as prominent voices in the crypto space suggested that the U.S.’s expanding global tariff strategy could renew interest in blockchain technologies.
Despite recent declines tied to political uncertainty and economic jitters, Bitcoin rose over 7% to $82,000, bouncing back from earlier overnight lows. BTC crossed the $80,000 barrier, and it reached the $83,400 mark after US President Donald Trump announced a 90-day pause on tariffs for several nations, excluding China, and temporarily reduced reciprocal tariffs to 10%. The overall cryptocurrency market reacted positively, pushing total market capitalization up by 7% to $2.70 trillion,” according to CoinSwitch Markets Desk.
Investors have been navigating waves in both crypto and financial markets this week as President Donald Trump’s sweeping global tariffs have analysts increasingly convinced that Bitcoin is now more likely than ever to challenge the US dollar in the years ahead.
The recovery came even as trade tensions between the U.S. and China escalated with tit-for-tat tariffs. Crypto markets have been under pressure this year following a post-election surge that faded amid tightening U.S. trade policies. The latest drop followed new tariffs introduced by President Trump on several nations last week.
Charles Hoskinson, co-founder of both Cardano and Ethereum, shared his perspective at a conference in Paris: “I think actually what’s happening right now is the greatest example of why we need blockchain cryptocurrencies,” according to the Financial Times.
Hoskinson, who has been actively advising U.S. lawmakers on digital asset regulations, noted that President Trump recently mentioned Cardano’s ADA token as a potential component of a national crypto reserve.
“Maybe it’s just me, but it shouldn’t be the case that a handful of people have the power to destroy the global economy or radically change the global economy,” he said. “Perhaps it should be a bit more collaborative and decentralised, and perhaps it should be the case that we get rid of middlemen and other power structures.”
Arnoud Star Busman, CEO at Quantoz Payments, echoed this sentiment: “It’s little surprise that digital asset investors have sought a safe haven in the choppy seas of the digital asset markets, at a time when volatility has reached every asset class. In crypto, one can convert speculative assets into safer denominations at lightning speed and we have seen that in our own USDQ and EURQ stablecoins, where trading volumes have increased fourfold on a month ago, now up to $1.4m a day.“
“While there was already a trend towards stablecoin use, the volatility has turbocharged that use and allowed retail and institutional investors to avoid the feeling of helplessness as they see their more illiquid assets get downgraded.”
Other major cryptocurrencies also saw gains: Ethereum, XRP, BNB, and Solana witnessed strong buying activity, rising as much as 10%. Ether climbed 0.9%, while Solana added 1.5%.
Gautam Chhugani, a Bernstein analyst, noted the shifting investor mindset: “All of this assumed the current status-quo ‘rules based order’ forever,” he said. “The world for the first time may consider decentralised technologies that can form the alternative ‘trust layer’.”
Paolo Ardoino, CEO of stablecoin issuer Tether, told the Financial Times that rising tariffs could speed up adoption of digital assets: “More countries will have a harder time to meet the new import duties,” he said.
Tether, based in El Salvador, operates the world’s most used stablecoin—pegged 1:1 to the U.S. dollar.
“More people in these countries will seek to have the dollar and access to the dollar,” Ardoino added. “Unfortunately our product probably works the best when national currencies are depreciating and there is higher inflation.”
Overall, the increase in total global crypto market capitalization reflects a broader shift toward digital assets amid macroeconomic uncertainty.
