Trump has admitted that the existing 145% U.S. tariffs on Chinese imports are “too high.” The US and China are currently trapped in a sudden customs war. Bitcoin and Ethereum have performed strongly during certain periods of monetary policy, reducing inflation.
US President Donald Trump has shown his willingness to lower tariffs on Chinese goods.
The announcement comes amid growing speculations about how these policy changes will affect inflation, interest rates and digital assets such as Bitcoin and Ethereum.
Trump’s comments have already sparked renewed interest among crypto investors, who are seeing potential rally in production.
In a recent CNBC interview, President Trump admitted that the existing 145% U.S. tariffs on Chinese imports are “too high,” effectively crippling bilateral trade.
“At some point, I’m going to lower them,” he said, adding that China is eager to resume business with the US.
Trump’s remarks suggest that trade talks between the two global forces could return to the table in hopes of a more balanced economic relationship.
Currently, the US and China are trapped in a sudden tariff war, with Beijing retaliating by imposing a 125% obligation on American goods.
These tart tariffs have disrupt the global supply chain and contributed to rising prices of consumer goods, from electronics to clothing.
Industry analysts believe that easing these taxes could reduce inflationary pressures, which could affect the Federal Reserve monetary policy, particularly when it comes to curbing further rate hikes.
From a crypto market perspective, its meaning is important.
Historically, digital assets such as Bitcoin and Ethereum have performed strongly during periods of flashy monetary policy and decline in inflation.
With tariff cuts on the horizon, crypto investors are betting on a price revival.
For example, Bitcoin has recently fallen below $80,000, but has since bounced back and is trading above $94,000 at press time.
Analysts predict that if sentiment continues to improve, Bitcoin could violate the $100,000 milestone, leading to wider market rallying.
Beyond Bitcoin, Altcoins like Ethereum (ETH), Ripple (XRP) and Solana (Sol) will also come from a more favorable economic environment.
Lower trade tensions often lead to increased risk appetite, driving more capital into speculative assets like cryptocurrencies.
Trump’s comments also suggest a broader economic readjustment.
Lower tariffs could ease operating costs for American businesses and improve consumer sentiment. This is a factor that indirectly nourishes the crypto economy by increasing liquidity and investor confidence.
Although no final decision has been made yet, the mere outlook for normalising US-China trade already sets a tone of a volatile yet potentially bullish stage in the crypto market.
As always, traders are encouraged to pay attention to policy changes that may affect macroeconomic indicators and, in turn, affect digital asset prices.
