Trump's 50% India Tariffs Labeled Bitcoin 'Attack'

Crypto Traders Allege Trump’s Policies Could Impact Bitcoin Market

Crypto traders are increasingly vocal about their concerns that President Donald Trump's recent actions could be intentionally disrupting the cryptocurrency market, particularly Bitcoin. Some believe that his decisions might be aimed at "clearing the order books" before a potential upward trend in the price of Bitcoin.

On August 5, discussions on Discord channels intensified after Trump signed an executive order imposing a 25% tariff on all imports from India. The move was primarily attributed to India's continued purchase of Russian oil, which Trump claims is undermining U.S. sanctions. However, for crypto traders, the implications of this decision extend beyond just trade relations and could significantly impact the broader market.

A prominent account on X, Discover Crypto, suggested that Trump might be attempting to drive Bitcoin's price below $110,000 to reset the market before a new surge. A pseudonymous trader in a private Discord server noted that this could be seen as a direct attack on risk-on assets like Bitcoin. He remarked, “It’s like he’s running monetary policy from his phone again. No one wants to see BTC back at $98,000 just because of a tantrum over oil.”

The frustration among crypto traders isn't solely based on price fluctuations; it also stems from what they perceive as Trump's erratic policy approach. One trader expressed concern, stating, “The same man who wants Bitcoin donations is nuking global trade. Can’t have both.” This sentiment highlights the growing anxiety within the crypto community regarding the potential consequences of Trump's policies.

Trade Tensions and Economic Implications

The 25% tariffs, set to take effect on September 17, follow a series of trade escalations initiated by the White House. Trump's executive order specifically targets India's indirect imports of Russian oil, claiming that these actions undermine U.S. sanctions and pose a threat to national security. The order states that goods shipped before the 21-day deadline will be exempt, but anything beyond that date will face taxation without exceptions for stacking tariffs or bonded warehousing.

This development comes at a time when the U.S. and India were expected to strengthen their economic ties. With Trump's latest actions, the relationship between the two nations is rapidly deteriorating, adding another layer of uncertainty to the global market.

For crypto bulls, the timing couldn't be worse. Historically, rising tariffs and trade tensions often lead investors to adopt a risk-off strategy, shifting their focus to cash or stable assets. This typically results in selling off Bitcoin, Ethereum, and other altcoins. With Bitcoin hovering just above $114,000, there is a fear that a dip below the key $110,000 psychological mark could trigger more liquidations.

One trader commented, “It’s not just about India. This sets the tone for more chaos — and chaos hits crypto first.”

Market Volatility and Liquidations

Despite the ongoing concerns, the crypto market is currently showing little movement. Major assets like Bitcoin and Ethereum remain relatively stable, with Bitcoin trading at $114,368, down just 0.3% on the day, while Ethereum is hovering at $3,618.53, showing a minimal 0.1% gain. Other top tokens such as XRP ($2.97), BNB ($764.20), and Solana ($165.76) are also mostly flat, although DOGE posted a modest 0.2% rise.

According to Coinglass, 120,403 traders were liquidated in the past 24 hours, with the largest single order being a $2.55 million BTC position on Bybit. This wave of liquidations has cooled the recent momentum that pushed prices higher earlier in the week.

XRP remains one of the more active assets, with a 1.7% increase over the past day and a 3.5% rise over the last week. This activity is likely driven by renewed investor confidence amid regulatory clarity and bullish technical indicators.

Despite the low volatility, total 24-hour trading volume remains robust, with Bitcoin and Ethereum alone accounting for nearly $60 billion in combined volume. This suggests that while the market may be experiencing short-term turbulence, the overall liquidity remains strong.