Trump’s Tariff Truce: Crypto Rises, But Why?

by

Trump confirms U.S.-India trade deal, cuts tariffs to 18%, and crypto markets rebound as Bitcoin and major tokens rise.

Trump, ever the master of dramatics, has once again proven that a well-timed trade deal can make even the most stoic investor blush. The U.S.-India agreement, which lowered tariffs to a measly 18%, has sent crypto markets into a frenzy, as if they’ve finally found their long-lost uncle who promised to pay for their college education.

It’s not just the tariffs that were eased-apparently, the tension between the two nations was so thick, it could have been used as a substitute for bubble wrap. Now, thanks to Trump’s diplomatic prowess, the world can breathe easy… or at least pretend to.

U.S.-India Trade Deal Lowers Tariff Pressure

President Donald Trump, ever the showman, confirmed the deal via a public post that was as polished as a Trump Tower doorknob. The agreement, which took effect immediately, slashed U.S. tariffs on Indian goods from 25% to 18%. A 7% reduction? More like a 7% reduction in the amount of drama we all have to endure.

India, in a move so generous it’s almost suspicious, agreed to remove tariffs and non-tariff barriers on American goods. One can only imagine the champagne flowing in New Delhi as they realized they’d just handed Trump a victory so clean, it could double as a trophy.

Trump also claimed India will increase imports of U.S. products across energy, tech, agriculture, and coal. If this is true, the U.S. should start drafting a new constitution-because nothing says “democracy” like a $500 billion trade deal with a country that once had a prime minister named after a spice.

Donald J. Trump Truth Social Post 11:58 AM EST 02.02.26

It was an Honor to speak with Prime Minister Modi, of India, this morning. He is one of my greatest friends and, a Powerful and Respected Leader of his Country. We spoke about many things, including Trade, and ending the…

– Commentary Donald J. Trump Posts From Truth Social (@TrumpDailyPosts)

Energy supply was a key point, with Trump claiming India will stop buying Russian oil. Because nothing says “strategic alliance” like switching from one authoritarian regime to another. And yes, Venezuela is now the new “friend” in this geopolitical rom-com.

The deal follows months of strained relations, which, if you ask me, is just another way of saying “we tried to be polite, but then someone mentioned tariffs.” In August, the U.S. slapped a 25% tariff on Indian goods, which is like throwing a tantrum at a dinner party and then expecting everyone to forget it.

Crypto Markets Rebound After Tariff Easing

Crypto markets, ever the emotional support animals of the financial world, rallied after the news. Bitcoin shot up 2%, Ethereum followed suit, and suddenly, everyone’s portfolio looked like a glittering oasis in a desert of despair. It’s like the markets finally found their zen-until the next tariff announcement, of course.

Analysts are now scrambling to figure out why the market is so thrilled. Is it the reduced tariff pressure? The promise of $500 billion in trade? Or just the fact that Trump hasn’t threatened to build a wall around the entire planet yet? Who knows, but the crypto crowd is clearly rooting for the “optimism” narrative.

Earlier tariff pauses, like the one affecting Europe, also boosted crypto prices. It’s like the markets are saying, “Sure, we’ll buy your assets if you stop yelling at us for five minutes.”

Related Reading:  Major Cryptocurrencies Fall After Trump Signals New U.S. Tariffs

Trade Policy Remains a Key Market Driver

Analysts continue to monitor trade policy changes, which, in a world where Trump’s tweets can move markets, is like watching a soap opera while holding a lit fuse. Tariff news is the plot twist that never gets old-except for the people who have to live through it.

Analyst Ashish Chaturvedi’s tweet about “LIMITLESS POTENTIAL” was so full of optimism, it could power a small city. But let’s be honest, the real limit is how long the market will stay this happy before Trump decides to “negotiate” again.

The relationship between India- US has LIMITLESS POTENTIAL.

– Ashish Chaturvedi (@Ashish_4vedi)

Despite the rebound, traders remain cautious. Because nothing says “confidence” like a trade deal that could collapse faster than a house of cards in a hurricane. Markets are now on high alert, waiting for the next “official statement” that will send them into a tailspin or a celebration-depending on the day.

Read More

2026-02-03 15:15