US President Donald Trump Has Signaled a Willingness to Lower Tariffs on Chinese Goods

US President Donald Trump has signaled a willingness to lower tariffs on Chinese goods, sparking speculation about how such a policy shift could impact inflation, interest rates, and digital assets like Bitcoin and Ethereum.

Trump’s comments come amid escalating trade tensions between the two global powers. China has imposed a 145% tariff on US imports in response to America’s 125% duty on Chinese goods.

These tit-for-tariffs have disrupted global supply chains and contributed to higher prices for consumer goods ranging from electronics to clothing.

Industry analysts believe that easing these levies could reduce inflationary pressure, thereby influencing the Federal Reserve’s monetary policy, particularly in holding back further interest rate hikes.

From a crypto market perspective, the implications are significant. Digital assets such as Bitcoin and Ethereum have often shown strength during periods of dovish monetary policy and reduced inflation.

With tariff reduction on the horizon, crypto investors are already betting on a resurgence in prices.

Bitcoin, for instance, recently dipped below $80,000 but has since bounced back, trading above $94,000 at press time.

Analysts predict that if sentiment continues to improve, Bitcoin could breach the $100,000 milestone, triggering a broader market rally.

Beyond Bitcoin, altcoins like Ethereum (ETH), Ripple (XRP), and Solana (SOL) also stand to gain from a more favorable economic environment.

Lower trade tension often translates to increased risk appetite, driving more capital into speculative assets like cryptocurrencies.

Trump’s remarks also hint at a broader economic recalibration. Lower tariffs could ease operational costs for American businesses and improve consumer sentiment—factors that indirectly feed into the crypto economy by increasing liquidity and investor confidence.

While a final decision is yet to be made, the mere prospect of US–China trade normalization has already set the tone for a volatile yet potentially bullish phase in the crypto markets.

As always, traders are advised to keep a close eye on policy shifts that could influence macroeconomic indicators and, by extension, digital asset prices.