One post by Donald Trump on social media caused a sharp turnaround in the crypto market. After the US president wrote that “everything will be fine with China” and that America “wants to help, not harm,” the value of Bitcoin rose by more than 6% in a few hours, exceeding the $114,000 mark.
Two days earlier, the market collapsed after Trump announced 100% tariffs on Chinese imports. According to CoinGlass, traders’ positions worth more than $19 billion were liquidated in a day, and Bitcoin fell to around $104,000.
Trump’s new statement reassured investors and triggered a short-term rally in cryptocurrencies. Ether rose 5%, and the total market capitalization again exceeded $2.2 trillion, according to data from CoinMarketCap.
Analysts believe that the US president has effectively demonstrated how much his public statements can influence the decentralized financial market. “Trump acts as a catalyst for emotions. A single tweet from him can move prices faster than any macroeconomic news,” according to a report by Cointelegraph.
Trump previously called cryptocurrency a “dangerous bubble,” but since the beginning of his campaign, he has actively used it as a public policy tool, often provoking fluctuations.