Bitcoin Surges Ahead of Trump’s Liberation Day Speech as US Stocks Climb

April 2, 2025 – Bitcoin has surged past $86,000, gaining 3% in the last 24 hours, as investors anticipate U.S. President Donald Trump’s “Liberation Day” tariff speech later today. The cryptocurrency’s rally mirrors a rise in U.S. stock markets, signaling a broader risk-on sentiment ahead of potential economic policy shifts.

Why Bitcoin is Pumping

Trump’s speech, scheduled for 4 p.m. Eastern Time, is expected to unveil a new tariff blueprint, including reciprocal trade policies that could reshape global markets. Analysts believe Bitcoin’s recent gains reflect market optimism, with traders betting that the tariffs may be less severe than feared or already priced in after weeks of speculation.

• Bitcoin’s price movement: Up 3%, now above $86,000
• Stock market impact: S&P 500 and other indices are also rising
• Correlation factor: Bitcoin’s correlation with U.S. equities sits at 0.74, showing a close connection between the two markets

Bullish or Bearish? What Degens Expect

Crypto analysts are divided on Bitcoin’s next move:

• Bullish scenario: If Trump’s tariff policies are softer than expected, Bitcoin could break past $88,000, potentially igniting a broader altcoin rally. Institutional demand appears to be picking up, adding to the bullish momentum.
• Bearish scenario: If tariffs significantly disrupt global trade, Bitcoin and stocks could experience a sharp sell-off, dragging Bitcoin below key support levels like $80,000.

The Bigger Picture: Trump’s Crypto Stance

Beyond tariffs, speculation is growing about Trump’s broader crypto policies:

• U.S. Strategic Bitcoin Reserve? Rumors of a national Bitcoin reserve have fueled long-term bullish sentiment, though no official confirmation has been made.
• Bitcoin mining concerns: The U.S. Bitcoin mining sector’s reliance on Chinese manufacturers could face supply chain disruptions under new trade restrictions.

Final Thoughts: All Eyes on the Rose Garden

With Bitcoin’s rally fueled by speculation, today’s speech could be a turning point. If Trump signals crypto-friendly policies alongside manageable tariffs, Bitcoin could surge higher. But if global trade tensions escalate, markets could see heightened volatility. For now, investors remain cautiously optimistic, watching closely as Liberation Day unfolds.