
President Donald Trump announced new tariffs that many are calling the biggest trade shake-up in US history. These include a 10% tariff on almost everything imported to America, except goods from Canada and Mexico.
China got hit hardest with a 34% tariff (54% when you add previous tariffs), while the European Union faces a 20% tariff. There’s also a separate 25% tax on imported cars and auto parts, though Canadian and Mexican vehicles following USMCA rules got a temporary pass.
Markets didn’t take this news well. US stock futures dropped quickly, and markets across Asia and Europe fell too. China and the EU are already talking about hitting back with their own tariffs, and many worry we’re heading into a serious trade war. All this economic drama is now spilling over into the crypto world.
What you'll learn 👉
How US Tariffs Affect Bitcoin Price
Bitcoin used to move on its own before now. Ten years ago, it barely correlated in movement with the S&P 500 (correlation of just 0.17). But in the last five years, that connection has gotten stronger (0.41), showing Bitcoin increasingly moves with traditional investments. Just recently, Bitcoin’s relationship with stocks swung wildly from negative to positive.
The new tariffs have made stock markets nervous and shaky, pushing the S&P 500 below important support levels. Since Bitcoin now follows stocks more closely, this uncertainty is dragging down crypto prices too. Trade fights like this one usually make the US dollar stronger, which typically hurts Bitcoin since it’s priced in dollars and becomes less attractive to international buyers when the dollar gains strength.
Bitcoin’s Recent Price Action
Crypto fans were initially excited about Trump’s presidency, but his moves that hurt stocks are now hurting Bitcoin too. BTC stayed above $90,000 from November through February, moving sideways without much drama. Then March came, and Bitcoin price broke below that important $90,000 level, falling as low as $76,000.

We’ve seen some recovery since then, but mostly Bitcoin has been drifting sideways around $83,000. This has many investors wondering where prices might go next as everyone tries to figure out what these new tariffs will mean for markets.
ChatGPT’s Bitcoin Price Predictions for Q2 2025
I am trying to understand where the BTC price could go in the next few months. We asked ChatGPT to give us three predictions for Bitcoin prices in the second quarter of 2025. The AI provided us with pessimistic, realistic, and optimistic price predictions.
Pessimistic Scenario: Bitcoin drops to $70,000–$75,000
The new tariffs have made the dollar stronger, which isn’t good for Bitcoin. If stocks keep falling because people fear a trade war, Bitcoin will probably follow them down since they’re now connected in investors’ minds.
Read Also: XRP Price Prediction for Today (April 3)
If China, Europe and others hit back with their own tariffs, markets could panic even more. Investors might run to traditional safe options like cash or gold instead of crypto.
Also, if Bitcoin can’t get back above $90,000 and stay there, technical traders might see that as a sign to sell, pushing prices down toward $75,000 or lower.
Realistic Scenario: Bitcoin stabilizes between $80,000–$88,000
Bitcoin has been bouncing around in this range since recovering from its $76,000 low in March. This suggests buyers and sellers are evenly matched right now. While tariffs might cause inflation concerns, without clear signals about what the Federal Reserve will do next, Bitcoin might just drift sideways for a while.

If stocks stabilize or bounce back a bit, that would help Bitcoin hold steady too, especially if investors start viewing the tariffs as temporary political noise rather than a lasting economic problem.
Meanwhile, big institutional investors are probably waiting for clearer signals before making major moves, which limits both big drops and big rallies.
Optimistic Scenario: Bitcoin rebounds to $92,000–$98,000
If global markets stay unstable but Bitcoin breaks free from following stocks (which happens sometimes), people might start buying it as protection against economic uncertainty. If investors begin questioning whether Trump’s tariffs will actually work long-term and move away from the dollar, Bitcoin could benefit as the dollar weakens.
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Breaking above $90,000 could trigger a buying rush as people fear missing out on gains. This would be especially likely if inflation data suggests Bitcoin works as a good hedge against rising prices.
Also, if the Fed keeps interest rates steady or hints at cuts despite inflation concerns, Bitcoin and other risk investments could surge as money becomes cheaper to borrow.
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