U.S. stocks experienced a remarkable surge following President Donald Trump’s announcement of a 90-day tariff pause, with the market adding $3.5 trillion in a single day. This jump is equivalent to the peak market capitalization of the entire cryptocurrency sector in late 2024, underscoring the significance of the announcement.
The move, which includes a steep 125% tariff hike on Chinese goods, not only propelled U.S. stocks but also sent shockwaves through global markets. The crypto community, however, responded with optimism. Bitcoin prices surged 6.5%, breaking above the $82,000 mark, while the overall cryptocurrency market cap saw a 7% increase.
The S&P 500 index, a key measure of U.S. economic health, saw a remarkable 5.8% rise—its largest single-day gain since 1923—jumping from 4,948.43 to 5,451.96. A heatmap of S&P 500 companies showed widespread gains across various sectors, with major tech companies like NVIDIA, Apple, Microsoft, and Google all experiencing significant boosts, ranging from 7% to 13.5%.
For the crypto market, the $3.5 trillion increase in stock market value is a bittersweet benchmark. The crypto market’s all-time high of $3.7 trillion in December 2024 was driven by a Bitcoin rally that briefly saw the cryptocurrency reach $100,000 before Trump’s inauguration. However, earlier tariff threats had caused Bitcoin to fall below $75,000 just days before the stock surge, highlighting the sector’s susceptibility to global market shifts, despite Trump’s outspoken support for digital currencies.
As global markets continue to react to Trump’s escalating trade tensions with China, the crypto community is left to wonder whether it can capitalize on the momentum driving U.S. stocks. For now, the surge in stock market capitalization serves as both a milestone and a reminder of the volatile relationship between traditional financial markets and the decentralized cryptocurrency space.
Related topics:
Mantra (OM) Price Surges Amid Crypto Market Slump: Can OM Reach $7?
Mantra Price Jumps Despite Crypto Market Crash! Can OM Reach $7?
Ethereum (ETH) Faces 53% Loss After Eric Trump’s Endorsement
