Crypto Traders Say Trump’s Trade War Could Crash Bitcoin to $98K
What Just Happened?
Crypto traders are up in arms after President Donald Trump announced a sudden 50% tariff on all imports from India, effective September 17, 2025.
While the official reason is India’s ongoing purchase of Russian oil, traders believe there’s more to the story—some are calling it a direct attack on Bitcoin (BTC) and other high-risk assets.
The market reacted fast, with fears that this trade tension could crash Bitcoin below the $110K level. The timing is especially critical, as Bitcoin recently crossed $114K and is seen as vulnerable to another round of forced liquidations.
Why Traders Think Trump Is Targeting Bitcoin
A “Monetary Tantrum” Over Oil?
Trump’s move came via an Executive Order signed on August 5, citing India’s backdoor Russian oil imports as a threat to U.S. national security.
But crypto influencers aren’t buying the excuse. On Discord and X (formerly Twitter), traders accused Trump of deliberately trying to knock Bitcoin down before it continues its next rally.
“Trump really trying to send $BTC back below $110k to clear the order books before the next move up,” said Discover Crypto, a widely followed account.
Another pseudonymous trader, part of a private Discord group viewed by TheStreet Roundtable, called the order:
“A direct attack on risk-on assets like BTC. It’s like he’s running monetary policy from his phone again.”
Many in the crypto space believe this echoes Trump’s erratic, unpredictable policy style from his first term—one that created extreme market volatility.
The Impact of Tariffs on Crypto Markets
Risk-Off Mode Could Trigger a Bitcoin Dip
Historically, rising tariffs and global trade disputes make investors nervous. When uncertainty grows, traditional markets shift into “risk-off” mode—pulling money out of volatile assets like crypto and moving into cash or stable alternatives.
With BTC hovering just above $114,000, analysts are watching closely. A dip below $110,000 could set off a cascade of automated sell-offs, especially with large leveraged positions in play.
One trader summed it up:
“It’s not just about India. This sets the tone for more chaos—and chaos hits crypto first.”
Market Snapshot: Flat Prices, Big Liquidations
Despite the drama, crypto prices remained mostly flat over the past 24 hours.
Here’s how the major coins were performing as of August 6:
| Coin | Price | 24H Change |
|---|---|---|
| Bitcoin (BTC) | $114,368 | -0.3% |
| Ethereum (ETH) | $3,618.53 | +0.1% |
| XRP | $2.97 | +1.7% |
| BNB | $764.20 | -0.2% |
| Solana (SOL) | $165.76 | +0.1% |
| Dogecoin (DOGE) | $0.217 | +0.2% |
Even with the low volatility, there was serious action under the surface.
According to Coinglass, over 120,000 traders were liquidated in the last 24 hours, totaling $267 million in losses. The largest single liquidation? A $2.55 million BTC position on Bybit.
Why XRP Is Still Moving Up
While most major tokens held steady, XRP continues to outperform, gaining 1.7% on the day and 3.5% over the last week.
Analysts credit this strength to:
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Regulatory clarity following Ripple’s legal wins
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Bullish chart signals
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Growing excitement around DeFi yield tools like MoreMarkets
XRP’s momentum could help it hold above the key $2.90 support level, despite broader market unease.
What’s Next for Bitcoin and Crypto?
Watch These Key Levels
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Bitcoin support: $110K — a drop below this could trigger deeper losses
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Bitcoin resistance: $118K — breaking above this would signal renewed confidence
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XRP resistance: $3.30 — this is a stubborn barrier that has stopped multiple rallies
With Trump’s India tariffs taking effect in mid-September, the crypto market may remain tense over the next few weeks. Additional global instability or unexpected policy moves could fuel more volatility.
Is This a Buying Opportunity or a Warning Sign?
For long-term believers in Bitcoin and altcoins, short-term dips are often seen as buying opportunities. But traders should be careful—especially with leverage and short-term speculation, given the current unpredictable policy environment.
Trump’s second-term trade moves might create sharp short-term pullbacks in BTC and Ethereum, but they are unlikely to shake the long-term fundamentals of crypto adoption.
Still, traders say you can’t ask for Bitcoin campaign donations one day and then drop tariffs that tank global markets the next.
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