Following a U.S. Supreme Court ruling against earlier tariffs, President Trump announced a new 10% temporary tariff on imports using a previously unused legal mechanism. Bitcoin’s price has held near $68,000, but historical precedent suggests potential market volatility, as similar trade actions triggered significant cryptocurrency declines in 2023.
The U.S. Supreme Court ruled on Friday that President Trump could not use a 1977 law to levy certain import taxes. Hours later, Trump announced a new 10% temporary tariff on goods from all countries under a different, unused statute known as Section 122. *Trump’s reaction was immediate, calling the ruling a disgrace and threatening to take even more actions.*
The court’s 6-3 decision applies only to tariffs enacted under the International Emergency Economic Powers Act (IEEPA). Tariffs imposed under Section 232 of the Trade Expansion Act of 1962 remain in effect. The ruling did not address refunding approximately $130 billion in collected duties, a process Treasury Secretary Bessent said could drag on for years.
The immediate question for cryptocurrency investors is whether these developments could trigger a market downturn. Bitcoin and alternative cryptocurrencies plunged in February and April 2023 following earlier broad tariff actions by Trump. Further corrections occurred months ago when the President threatened the European Union with additional taxation.
So far, bitcoin has remained relatively stable, trading around $68,000. Market observers note that the asset appeared stable after the prior EU threats but plummeted once all financial markets opened the following Monday.
