The price of Bitcoin experienced a notable uptick on Friday, climbing to around $67,271, representing an increase of 1% over the previous day. This surge follows a significant ruling by the Supreme Court, which determined that the majority of tariffs imposed by former President Donald Trump were enacted in a manner that exceeded his legal authority.
Following the release of the decision at 10 a.m. ET, Bitcoin initially dipped to as low as $66,900 but quickly rebounded to nearly $67,800 before settling back down. According to data from CoinGecko, this fluctuation reflects the market’s immediate reaction to the legal landscape surrounding Trump’s tariffs.
The Supreme Court’s ruling specifically pointed to the International Emergency Economic Powers Act (IEEPA) of 1977, which grants the president the ability to regulate foreign economic transactions only in the context of a declared national emergency. Chief Justice John Roberts, delivering the majority opinion in a 6-3 decision, emphasized that the Trump administration’s interpretation of the IEEPA represented an unprecedented expansion of presidential authority over trade policy.
In the past year, Trump’s aggressive tariff strategies significantly impacted global markets, causing Bitcoin to plummet from a high of $106,000 following the electoral victory to $76,300 in April, amidst increasing tensions and uncertainty. Though Trump has moderated his stance on imposing “reciprocal” tariffs, he continues to threaten additional levies to further his international objectives.
While the ruling does not negate all of Trump’s tariffs, it raises concerns about ongoing geopolitical and economic uncertainty throughout his administration. This uncertainty has not only strained existing trade alliances but has also raised fears of potential inflationary pressures on the economy.
In parallel, gold prices surged by 1.8% to reach $5,090 per ounce, demonstrating a market flight to safety amid the turbulent economic landscape. Earlier in the day, gold had dropped to about $5,000 per ounce, underlining the volatility in precious metals markets in response to shifting economic signals.
Trump vocally expressed his discontent with the Supreme Court’s ruling, labeling it a “disgrace” and hinting at a potential backup plan, though details remain unclear. Justice Brett Kavanaugh, in his dissent, noted that the Supreme Court’s decision would not necessarily resolve the broader implications surrounding the billions in tariff revenue already collected by the government. He cautioned that if lower courts decide that the tariffs were improperly imposed, the ensuing resolution could be complicated and disorderly.
