While Bitcoin trades in a difficult range and macro uncertainty remains elevated — from geopolitical tensions around Iran to slowing global growth — another major headline just hit the tape.
The U.S. Supreme Court has struck down a large portion of the Trump Tariffs policy.
Could this be the catalyst markets have been waiting for?
On the surface, removing tariffs sounds bullish. Lower trade friction. Lower costs. Less tension. However, markets rarely move on headlines alone. They move on expectations, positioning, and uncertainty.
So let’s break down what actually happened — and then assess what this means for equities, macro, and crypto.
Supreme Court Strikes Down Trump Tariffs
Supreme Court of the United States ruled 6–3 that many of the Trump Tariffs were unconstitutional.
The majority opinion concluded that the law used to justify the tariffs — the International Emergency Economic Powers Act (IEEPA) — does not authorize the president to impose broad import duties.
John Roberts delivered the majority opinion. Dissenting were Clarence Thomas, Samuel Alito, and Brett Kavanaugh.
The Court emphasized a constitutional principle:
Congress alone holds the power to levy taxes — and tariffs fall under that taxing authority.
The ruling states that the president cannot rely on vague statutory language to justify sweeping economic measures. If such authority exists, Congress must clearly grant it.
This decision is one of the biggest legal setbacks to Trump’s economic agenda in his second term.
What Was the Legal Argument?
Trump’s administration leaned heavily on the IEEPA, a 1977 law designed to address national emergencies.
International Emergency Economic Powers Act allows the president to regulate certain international economic transactions during extraordinary threats.
However, the statute does not explicitly mention tariffs.
The administration argued that the authority to regulate imports implicitly included tariff power.
The Court disagreed.
They noted that no previous president had used IEEPA to impose tariffs of this magnitude. That precedent mattered.
Under the Constitution, tariff authority rests with Congress. The president must show explicit authorization. According to the majority opinion, that authorization was absent.
What Happens to the Billions Collected?
This is where things get messy.
Estimates suggest that up to $175 billion could potentially be subject to refund debates. However, the ruling did not specify how — or whether — repayments will occur.
Justice Kavanaugh warned in his dissent that processing refunds could become “a mess.”
Importers — not consumers — technically paid these tariffs. That means businesses would likely be first in line for reimbursement.
For the U.S. Treasury, this could mean a significant revenue hit.
Is This the End of Trump Tariffs?
Not necessarily.
The administration has other legal pathways.
For example:
- Section 232 (national security tariffs)
- Section 301 (trade violations)
- Section 122 (temporary tariffs up to 15% for 150 days)
These tools could allow new tariffs to be introduced under different legal justifications.
So while one door closes, others remain open.
And markets know that.
Study our series of trading guides to increase your edge
Market Reaction: Relief or More Uncertainty?
Now we reach the real question.
What does this mean for risk assets?
Historically, Trump Tariffs triggered sharp market reactions. Trade tensions with China and other partners often led to risk-off moves. Crypto felt that pressure as well.
When tariffs were first introduced, Bitcoin and altcoins experienced significant drawdowns. Each escalation in trade disputes added volatility.
So intuitively, reversing tariffs should be bullish.
Less trade friction. Less inflationary pressure. More stability.
That could support a relief rally in equities and crypto.
Perhaps even a move back toward the 80–90k Bitcoin range that traders have been eyeing.
But here’s the complication.
Trump is unlikely to accept defeat quietly. New legal strategies may emerge. Fresh negotiations could follow. Political battles could intensify.
And uncertainty is not bullish.
Markets hate unpredictability more than they hate bad news.
What Will This Do to Crypto?
It is undeniable that Trump Tariffs had tremendous impact on crypto markets.
Every tariff escalation produced volatility.
Trade wars created inflation fears.
Inflation fears affected rate expectations.
Rate expectations influence liquidity.
Liquidity drives crypto.
If tariffs permanently decline, that could ease macro stress. Lower cost pressures may reduce inflation expectations, which in turn supports risk assets.
However, if this ruling leads to political chaos or rapid policy reversals, markets could shift back into defensive mode.
In that case, we could see deeper downside before a true bottom forms.
Some traders are watching 40k as a potential macro low scenario if risk-off intensifies.
Others anticipate a relief pump if the decision removes a key macro overhang.
Both outcomes are possible.
The Bigger Picture: Macro Still Rules
Even though Trump Tariffs dominate headlines today, they are only one variable.
Geopolitical tensions remain active.
Central banks remain cautious.
Liquidity conditions remain tight.
As we’ve discussed before on AirdropAlert, Bitcoin currently sits in a tough range. High timeframes suggest a possible bounce. Mid timeframes show stubborn downward pressure.
That tension remains unresolved.
This ruling may act as a catalyst — but it is not the only driver.
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Trading Strategy: Stay Prepared
In environments like this, flexibility matters.
Mark your key levels.
Define your invalidation.
Avoid emotional trades based on headlines alone.
If we see confirmation of risk-on flows, momentum traders may step in.
If uncertainty escalates, defensive positioning may dominate.
Either way, volatility creates opportunity.
Roll up your sleeves and stay ready.
Final Words
The Trump Tariffs ruling is significant. It reshapes executive authority and introduces new political friction.
Markets may initially react with optimism.
But sustainable upside requires clarity — not just headlines.
Crypto traders should stay alert. Watch volume. Keep an eye on macro sentiment. And Watch how policymakers respond.
Whether this becomes a relief rally or a deeper correction will depend less on the ruling itself — and more on what happens next.
Uncertainty creates fear.
Fear creates volatility.
And volatility, for prepared traders, creates opportunity.
If you enjoyed this blog, you may want to check our other crypto news updates.
As always, don’t forget to claim your bonus below on Bybit. See you next time!
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