Bitcoin surged past $81,000 on Thursday, gaining more than 8% in a single session after former U.S. President Donald Trump announced a 90-day pause on proposed trade tariffs. The announcement sparked a swift response from financial markets, with cryptocurrencies reacting most sharply. Ethereum and XRP also posted impressive gains, each rising over 12%, as investor sentiment turned decidedly bullish.
The announcement, made during a high-profile economic summit, took markets by surprise. Trump emphasized that the temporary freeze was aimed at giving both domestic producers and international partners time to negotiate more favorable terms. “We want fair trade, but we also want to give businesses a chance to breathe,” he said. That pause, though limited in duration, was enough to jolt markets into action—particularly risk-on assets like cryptocurrencies.
Bitcoin’s rally pushed the asset to its highest level in over a month, briefly touching $81,700 before slightly retreating. According to market observers, this sharp move upward is being driven not only by temporary geopolitical relief, but also by a shift in perception about the future of crypto regulation in the U.S. Since Paul Atkins assumed leadership of the SEC, investors have begun to anticipate a more constructive regulatory approach—one that could encourage innovation while still ensuring market integrity.
Ethereum and XRP benefited from the same sentiment, rising more than 12% in the hours following Trump’s comments. The broader crypto market saw a flurry of activity, with volumes surging across major exchanges. For many traders, the combination of easing trade tensions and the perceived softening of U.S. regulatory pressure has created a rare moment of alignment between market fundamentals and political messaging.
Several financial strategists noted that the correlation between trade policy and crypto markets is becoming more pronounced. “Crypto is no longer operating in a vacuum,” one analyst explained. “When political leaders make decisions that affect global liquidity or economic outlook, those ripples are immediately felt in digital assets.”
In the context of a highly volatile year for cryptocurrencies, the rally serves as a reminder of how quickly sentiment can shift. Investors had recently grown wary amid rising interest rates and tighter regulatory scrutiny, but Thursday’s market reaction suggests that momentum can return just as swiftly when external pressures ease. Bitcoin, often viewed as a barometer for broader crypto health, appears to be regaining investor favor as a hedge not just against inflation, but also against political uncertainty.
Still, some analysts urge caution. The 90-day tariff pause, while welcomed, is temporary and subject to political shifts. Whether the market can sustain this optimism will likely depend on follow-up policy signals and the stability of broader economic indicators.
For now, though, the crypto market is enjoying a rare moment of harmony—between traders, policymakers, and global investors. And in the unpredictable world of digital assets, that’s more than enough to ignite a rally.
By Alejandro Silva Ramírez, Crypto Analyst & Columnist