Bitcoin price jumps to $109,600 after President Trump postpones punitive tariffs on the European Union. The delay brings relief to global markets amid tense trade negotiations.

Bitcoin Rises After Trump Pauses Tariff Threat on European Union

Bitcoin surged to a new high of $109,600 on Monday morning following a dramatic pause in escalating trade tensions between the United States and the European Union. The cryptocurrency’s sharp rally came in response to President Donald Trump’s decision to postpone the implementation of 50% tariffs on European imports.

The move followed a telephone conversation between President Trump and European Commission President Ursula von der Leyen on Sunday evening. According to reports, the European Union requested more time to negotiate a comprehensive trade agreement, prompting the White House to shift the tariff deadline to June 9.

Bitcoin and Markets React to Easing Trade Fears


The Bitcoin market responded swiftly, with the digital asset climbing above the $109,000 threshold for the first time since early May. Investors interpreted the tariff delay as a temporary easing of transatlantic tensions, with cryptocurrencies and equities both benefiting from the uncertainty being momentarily defused.

Traditional financial markets echoed this optimism. US stock futures saw modest gains on Monday morning: S&P 500 futures rose 0.9%, the Dow Jones climbed 0.8%, and Nasdaq-100 futures advanced by 1%, reflecting growing hope that trade diplomacy might win over confrontation.

The delay has placed global markets in a “wait-and-see” phase, with analysts pointing out that the short extension merely prolongs uncertainty. While some investors welcomed the breathing space, others warned that the volatility surrounding tariff negotiations continues to pose risks—particularly for risk-sensitive assets like Bitcoin.

A History of Shifting Tariff Targets


In April, President Trump had proposed a 20% tariff on most EU imports, later reducing it to 10% in an effort to facilitate ongoing trade discussions. However, on Friday, the president sharply escalated the rhetoric, warning that a 50% tariff would be enacted on June 1 if no agreement was reached.

The last-minute postponement has bought negotiators a few more days, but the prospect of sweeping tariffs remains very much on the table.

Bitcoin’s Role in Uncertain Economic Landscapes


The renewed rise of Bitcoin highlights its evolving role as a hedge in times of geopolitical and economic uncertainty. As fears around traditional trade routes continue to shape investor behaviour, digital assets like Bitcoin are increasingly viewed as a counterweight to traditional financial instruments.

With June 9 now set as the new deadline for a potential tariff showdown, Bitcoin traders and global investors alike will be watching closely. For now, Bitcoin’s rally signals cautious optimism—but markets remain on edge as diplomacy and disruption once again go head to head.