Bitcoin Slips as Trade Tariff Uncertainty and U.S….

From Financial Modeling Prep: 2025-07-02 06:32:00

Bitcoin prices dropped on Tuesday due to concerns over U.S. trade policy and a controversial tax bill supported by President Trump. Despite recent corporate investments, the broader crypto market lagged behind equities. Bitcoin fell 0.8% to $106,670 by 09:11 ET, continuing a two-day decline.

The decline in Bitcoin followed a profitable June rally and was driven by profit-taking and worries about economic and geopolitical risks. Major companies like Strategy and Japan’s Metaplanet Inc. bought significant amounts of Bitcoin, but the market remained bearish.

Global markets are focused on the July 9 deadline for trade deals with the U.S. Trump warned of tariffs up to 50% for non-compliant nations. Tensions with Japan rose as Trump accused Tokyo of trade failures. Trade uncertainties historically impact cryptocurrencies negatively.

U.S. lawmakers are debating a tax and spending bill that could add $3.3 trillion to federal debt over the next decade. Rising debt levels and uncertain fiscal policies may affect Bitcoin differently — as a hedge or with caution during rising real yields.

Bitcoin’s recent dip reflects changing investor sentiment due to trade tensions, fiscal risks, and profit-taking. While corporate adoption is positive, short-term volatility may continue amid uncertainty over trade deals and U.S. policies.



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