Crypto markets have gained nearly $100 billion over the previous 12 hours, as commerce tensions have eased following the most recent transfer from US President Donald Trump.
Late on Sunday, Might 25, Trump introduced that he was extending the deadline for a 50% tariff on the European Union till July 9. He beforehand mentioned the tariffs would come into impact on June 1.
“I obtained a name right this moment from Ursula von der Leyen, President of the European Fee, requesting an extension on the June 1st deadline on the 50% Tariff with respect to Commerce and the European Union,” he posted on his social media platform, Fact Social.
“I agreed to the extension,” he mentioned earlier than including, “It was my privilege to take action.”
Tariff Flipflops Trigger Market Turmoil
On Might 26, the European Fee President mentioned Europe is able to advance talks swiftly and decisively, including, “To achieve a superb deal, we would wish the time till July 9.”
Good name with @POTUS.
The EU and US share the world’s most consequential and shut commerce relationship.
Europe is able to advance talks swiftly and decisively.
To achieve a superb deal, we would wish the time till July 9.
— Ursula von der Leyen (@vonderleyen) May 25, 2025
Whether or not deliberately or not, Trump has induced main market volatility and turmoil lately along with his fixed altering of tariff insurance policies and dates. This has left nations and buyers in limbo as to what’s actually occurring and when or if offers could be made. The one deal made thus far is with the UK.
“The European Union, which was fashioned for the first objective of making the most of america on TRADE, has been very troublesome to cope with,” Trump said simply days earlier than, on Might 23.
“Our discussions with them are going nowhere,” he mentioned whereas proposing 50% tariffs on EU items.
The USA is the EU’s largest buying and selling companion. It purchases 21% of its exports, the main one being prescription drugs, with different exports together with autos, plane, engines and motors, equipment, petroleum oils, and alcoholic drinks, in line with EU information.
Crypto Market Response
Crypto markets fell late final week, dropping 4% from their multi-month excessive as tariff tensions rose once more. Complete capitalization is at present $3.56 trillion, having gained 2.5% over the previous 12 hours since Trump’s newest tariff u-turn.
Nevertheless, there may very well be extra volatility in retailer this week with GDP and inflation data due in america.
Bitcoin, which has dominated sentiment lately, was up 1.5% on the day, buying and selling at $109,650 on the time of writing, recovering from a weekend low of $106,800, according to Coingecko.
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