Bitcoin, XRP, and Solana Rally as U.S. Equity Futures Surge Amid Trump’s Tariff Plans
Bitcoin (BTC), XRP, and Solana (SOL) gained momentum early Monday as U.S. equity futures rose, fueled by reports suggesting that the impending Trump tariffs set for April 2 may be narrower in scope than initially feared. The news lifted market sentiment, encouraging a risk-on environment across both traditional and digital asset markets.
Bitcoin traded at approximately $86,500, reflecting a 2.7% increase over the past 24 hours, while Solana’s SOL led the rally, climbing nearly 6% to $138. XRP followed with a 2.5% rise, reaching $2.44 and staying above its 50-day simple moving average (SMA).
Stock market futures mirrored this positive sentiment. Futures tied to the S&P 500, Dow Jones Industrial Average, and Nasdaq all posted gains of over 0.5%, while the CBOE Volatility Index (VIX), often considered Wall Street’s “fear gauge,” dipped by 2.5% to 18.88 points. Even Chinese markets, which initially opened with losses, reversed course as optimism spread.
Trump’s Targeted Tariff Approach Calms Markets
The turnaround in sentiment comes after reports indicated that President Donald Trump’s proposed “reciprocal tariffs” might be more selective than initially suggested. While Trump had previously threatened wide-ranging tariffs on imports, the latest reports suggest a more targeted approach, with exemptions for specific countries and sectors. Existing tariffs on steel and other materials may also remain unchanged.
This eased concerns of a widespread trade war, providing relief to both traditional and digital markets. In February, aggressive tariff rhetoric from Trump had rattled financial markets, causing Bitcoin to drop nearly 17.6% and dip below the $80,000 mark. However, with the Federal Reserve indicating that inflationary pressures from tariffs could be temporary, investor confidence has begun to recover.
Crypto Markets Gain Support from Dovish Fed Stance
Another factor bolstering the crypto market is the Federal Reserve’s recent policy outlook. While the Fed revised its inflation expectations higher last week, it maintained projections for two interest rate cuts later this year. This dovish stance has further boosted confidence in risk assets like Bitcoin, XRP, and Solana.
Market participants are increasingly viewing cryptocurrencies as a hedge against macroeconomic uncertainty. Prominent industry voices, like BitMEX co-founder Arthur Hayes, have echoed bullish sentiments. Hayes recently suggested on social media that Bitcoin could rally to $110,000 before revisiting the $76,500 level, citing the Fed’s pivot from quantitative tightening (QT) to quantitative easing (QE) for treasuries.
Key Events to Watch This Week
Investors will closely monitor upcoming economic events that could influence market sentiment further. The release of the Personal Consumption Expenditures (PCE) index, the Fed’s preferred inflation gauge, on Friday will provide insights into inflation trends. Additionally, the Senate Banking Committee will hold hearings with SEC nominee Paul Atkins and Comptroller of the Currency nominee Jonathan Gould on March 27, which could impact regulatory sentiment toward the crypto industry.
While the road ahead remains uncertain, the latest developments around Trump’s tariff plans and the Fed’s policy stance have provided a temporary tailwind for both equities and cryptocurrencies. For now, Bitcoin, XRP, and Solana continue to lead the charge in the digital asset space, with traders keeping a close watch on evolving macroeconomic factors.
