A rapid legal turnaround saw the U.S. Court of Appeals for the Federal Circuit issue a temporary stay on a lower court ruling from Wednesday that had invalidated the tariffs.
In the past 24 hours, Dogecoin (DOGE) plunged 9%, while Cardano’s ADA and Solana’s SOL each dropped 6%, as the reinstatement of Trump-era tariffs reignited concerns over trade tensions.
The appeals court’s stay means the tariffs—originally introduced on April 2 and dubbed “Liberation Day” duties by former President Trump—will remain in effect during the government’s ongoing appeal. These tariffs, enacted under the 1977 International Emergency Economic Powers Act, target nearly all U.S. trading partners.
Meanwhile, Bitcoin (BTC) slipped below $106,000, and Ethereum’s ether (ETH) dropped below the $2,700 level amid the renewed market uncertainty. The CoinDesk 20 (CD20) index, tracking the largest cryptocurrencies by market cap, declined by 4%.
Nick Ruck, director at LVRG Research, commented via Telegram, “Bitcoin’s price fell after the tariffs were reinstated by the appeals court, compounded by U.S. GDP data showing economic contraction in the first quarter.”
He added, “Gold rallied as jobless claims rose and corporate earnings declined. While the Fed remains concerned about inflation, we remain optimistic that Bitcoin will bounce back as investors seek long-term value during volatile market conditions.”
Market sentiment stayed cautious, with total crypto market capitalization steady at $3.42 trillion.
Alex Kuptsikevich, chief market analyst at FxPro, told CoinDesk via email, “Cryptocurrencies are largely ignoring positive movements in traditional stocks since these are driven by tariffs and corporate reports rather than changes in money supply.”
He further explained, “Bitcoin retreated from the upper end of its trading range near $110,000 down to around $107,000, a pullback that cools off signs of local market overheating.”
