XRP Soars to $2, Dogecoin Gains 10% as Trump’s Tariff Suspension Fuels Bitcoin Price Surge

Key Points:

• Bitcoin jumped to nearly $82,000, leading the crypto market's surge after President Trump reversed a global tariff policy.

• Major cryptocurrencies, including XRP and ether, rose by 12%, while tokens like Cardano’s ADA and Solana’s SOL gained 10%.

• U.S. stocks saw their largest rally since 2008, with the S&P 500 up 9.5% and the Nasdaq 100 climbing 12%.

Bitcoin (BTC) surged to almost $82,000 early Thursday, driving gains across the crypto market after President Donald Trump reversed a global tariff decision on Wednesday, sparking relief in broader equity markets.

XRP and ether (ETH) led the way with a 12% increase, while Cardano’s ADA, BNB Chain’s BNB, Solana’s SOL, and Dogecoin (DOGE) surged by up to 10%. The total market capitalization climbed 6%, and the broad cryptocurrency index saw a 7% gain.

Crypto-tracked futures experienced short liquidations exceeding $350 million, the highest since early March, helping to recover losses from Monday and Tuesday when Bitcoin briefly dropped to nearly $75,000.

Such liquidation events often present buying opportunities in the market, as they can indicate an overextended market, signaling a price correction, among other factors.

In other news, Bittensor’s TAO, Sonic’s S, and Flare’s FLARE saw gains of up to 30%, leading the surge among mid-cap tokens, those with a market cap under $5 billion.

The surge came as President Trump paused higher tariffs on most countries, except China, where he raised the levy to 125%, amid growing concerns from global leaders and fears of a recession. Countries affected by the higher reciprocal duties on Wednesday will now face the earlier 10% baseline rate applied to other nations.

Meanwhile, U.S. stocks experienced their biggest rally since 2008. The S&P 500 Index jumped 9.5%, rebounding from bear-market territory, while the Nasdaq 100 rose 12%.

Traders are closely monitoring developments for guidance amid ongoing uncertainty. 

“The market is rallying in response to the expectation that most trading partners will negotiate deals with the U.S., avoiding a full-blown trade war,” said Jeff Mei, COO at BTSE. “However, continued tariffs between the U.S. and China could lead to a realignment of global trade that could significantly alter how the world operates. We remain cautious until we see the outcomes of this play out in the coming months.”

Jupiter Zheng, a partner at HashKey Capital, suggested that markets could have reached a temporary low.

“The recent rally was driven by optimism that the worst might be behind us. Although challenges, like China’s potential retaliatory tariffs following Trump’s 125% increase, remain, the start of talks with other countries brings some hope,” he stated in an email.

“With U.S. regulators working to simplify regulatory barriers and adopt more crypto-friendly policies, Bitcoin and other cryptocurrencies might have already hit their bottom, provided no unexpected events arise. The industry might not have fully accounted for these developments, leaving room for potential future growth,” Zheng continued.