Trump Signs Surprise 10% Tariff—Is a Second Bitcoin Plunge Coming?

▲ Trump, Bitcoin (BTC) / ChatGPT-generated image

As U.S. President Donald Trump openly defied the Supreme Court’s ruling invalidating his tariffs and abruptly announced the introduction of new emergency tariffs targeting the entire world, the cryptocurrency market, including Bitcoin (BTC), has once again been gripped by a tense calm before a massive storm.

According to cryptocurrency media outlet CryptoPotato on February 21 (local time), Trump strongly criticized the Supreme Court’s decision, which had declared his signature universal tariff policy unconstitutional the previous day, and within hours signed an executive order imposing a temporary 10% tariff on all goods imported from every country. The measure is based on Section 122 of the Trade Expansion Act, a provision never previously invoked, and exercises presidential authority allowing tariffs of up to 15% for a maximum of 150 days without congressional intervention.

Market participants are closely watching whether President Trump’s latest decision will trigger a second major plunge in Bitcoin prices. In fact, when Trump first introduced universal tariffs in February and April last year, both Bitcoin and altcoin markets plunged sharply amid concerns over tightening liquidity. Although Bitcoin is currently holding relatively steady around the $68,000 level, there are growing warnings that significant volatility could emerge once global financial markets fully reopen after the weekend.

In a 6–3 ruling, the U.S. Supreme Court pointed out that the previously imposed tariffs had abused the International Emergency Economic Powers Act (IEEPA). However, President Trump chose to push forward by exploiting legal loopholes and presenting a new statutory basis. Experts warn that even after the 150-day period ends, Trump could indefinitely extend the tariffs by declaring another national emergency. Such policy uncertainty is likely to fuel demand for safe-haven assets and weigh negatively on risk assets such as cryptocurrencies.

Treasury Secretary Scott Bessent also addressed the approximately $130 billion in tariff refunds resulting from the Supreme Court’s decision, explaining that it could take years for the refund process to be completed. This suggests that the anticipated liquidity injection of $130 billion following the court victory may not materialize in the short term. Investors now face a situation where the positive catalyst of tariff refunds has faded, replaced instead by the heavy burden of a new 10% tariff.

The cryptocurrency market is expected to experience continued extreme volatility for the time being, driven by President Trump’s unpredictable economic maneuvers. Whether Bitcoin can defend its current support level and establish a foundation for a rebound, or succumb to the shockwaves of a renewed tariff war and decline further, will depend on market flows after Monday’s opening. Investors around the world are cautiously monitoring additional trade policy announcements from the White House and subsequent changes in macroeconomic indicators.

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