Bitcoin climbed back above $94,000 on Tuesday as traders repriced political risk tied to Donald Trump’s tariff policies. The move came ahead of a highly anticipated U.S. Supreme Court decision that could significantly reshape presidential authority over global trade tariffs.

Bitcoin Rally Lifts Altcoins

Bitcoin’s rebound quickly spilled over into the broader crypto market. Ethereum gained 3.21% to $3,207, while XRP rose more than 3.5% over the past day. The wider market followed BTC after suffering another pullback over the weekend.

Bitcoin managed to bounce from support near $91,000, where it stabilized earlier this week, shifting traders’ focus back to the $94,000 level.

Supreme Court Reviews Trump-Era Tariffs

The U.S. Supreme Court is currently examining the legality and scope of the most expansive tariff measures introduced during Trump’s presidency. At the heart of the case is whether a president can unilaterally impose global tariffs on U.S. trading partners without congressional approval.

During hearings held in November, both conservative and liberal justices raised skeptical questions about the legal mechanism used to enact the tariffs. That scrutiny has kept financial markets alert to the potential consequences of the ruling.

A decision had been expected last week, but the Court delayed its ruling. The next day for issuing an opinion is scheduled for Wednesday, January 14, turning the verdict into a key short-term catalyst for markets.

Trump Warns of a “Severe Blow” if Tariffs Are Overturned

Donald Trump has described the possibility of losing the authority to impose tariffs as a “terrible blow” to the United States. He argues that a ruling against the policy would severely weaken America’s negotiating position with foreign partners.

U.S. Treasury Secretary Scott Bessent also addressed the potential financial impact, stating that the Treasury has sufficient funds to cover costs associated with refunding tariffs should they be struck down.

Prediction markets suggest the odds of the Supreme Court fully upholding Trump’s tariffs are relatively low. On Polymarket, the probability stands at around 27%, indicating that traders largely expect the Court to curtail presidential tariff powers.

Inflation Data Supports Risk Appetite

Macroeconomic data also helped fuel the crypto rally. The latest U.S. Consumer Price Index (CPI) showed that December inflation held at 2.7%, exactly in line with market expectations. Core CPI also came in below analysts’ forecasts, easing concerns about further monetary tightening.

The combination of political uncertainty, anticipation of the Supreme Court’s ruling, and calming inflation data has created an environment in which Bitcoin once again emerged as the primary beneficiary of capital flows and market attention.

#BTC , #bitcoin , #TRUMP , #TrumpTariffs , #CryptoNews

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!

Notice:

,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“