Epic Bitcoin Rally Predicted as US Court Blocks Trump Tariffs

Attention, crypto enthusiasts! A significant legal development in the United States is creating waves across financial markets, with analysts predicting a major impact on the Bitcoin price. A recent US federal court decision blocking the majority of President Donald Trump’s tariffs is being hailed as a potential catalyst for a substantial rally, potentially pushing Bitcoin towards the $120,000 mark.

Court Decision Fuels Bitcoin Rally Hopes

The US Court of International Trade reportedly ruled on May 28 that President Trump overstepped his authority in imposing certain tariffs. This decision is seen by some as a game-changer for market sentiment.

Pav Hundal, lead analyst at Swyftx, described the court’s decision as an “epic mic drop,” telling Crypto News Insights that it will “intensify momentum behind Bitcoin.” He believes that “new all-time highs are imminent, and the momentum is largely irreversible at this stage.”

Why Trump Tariffs Mattered for the Crypto Market

Understanding the connection requires looking back. Trump’s initial tariffs, particularly those introduced in early February on Canada, Mexico, and China, were widely considered a primary driver behind Bitcoin’s dip below $100,000. The resulting macroeconomic uncertainty weighed heavily on the crypto market, keeping Bitcoin below that psychological level until early May.

While Trump signed an executive order on April 2 claiming emergency powers to levy “reciprocal tariffs” starting at 10% on every country, the court’s recent block on May 28 challenges this broad approach. According to Hundal, this ruling “blows a hole in trade talks either way,” suggesting a significant market repositioning is likely.

The trade war may have delayed a period of market exuberance, but according to Hundal, “it didn’t bury it. The trend is higher.” This sentiment is echoed by figures like BitMEX co-founder Arthur Hayes, who simply stated, “Buy everything round dos.”

A Wall of Money Entering Bitcoin

Analysts point to several factors supporting the bullish outlook beyond the tariff decision. Hundal highlighted that “a wall of money” is flowing into Bitcoin from various sources:

• Corporations
• Spot Bitcoin ETFs
• Retail investors

US-based spot Bitcoin exchange-traded funds (ETFs) recorded substantial inflows, totaling $2.75 billion in the trading week ending May 23 alone. Hundal stated that the court order has simply “accelerated that rotation into risk assets across the US and Asia.”

Bitcoin Price Targets and Market Sentiment

The immediate focus is on the $120,000 target. Hundal sees “a solid floor for demand on spot Bitcoin and a very solid consensus for $120K in the option markets.”

Other analysts share bullish views, with some forecasting even higher peaks. Geoff Kendrick, global head of digital assets at Standard Chartered, recently suggested Bitcoin could hit $120,000 in the first half of 2025, potentially reaching $200,000 by year-end, partly fueled by stablecoin growth. Another analyst mentioned potential peaks in the $220K to $330K range.

The mood among traders appears optimistic following the court news. Crypto analyst Bitcoin Ranchy tweeted, “So Trump tariffs are illegal? Does that mean we get green candles all around tomorrow?” The sentiment captured in crypto news outlets suggests growing confidence.

Summary: Court Ruling a Catalyst for Bitcoin’s Ascent?

The US court’s decision to block certain Trump tariffs is being widely interpreted as a positive development for global markets and, specifically, for Bitcoin. Analysts believe this removes a significant cloud of uncertainty that previously impacted the Bitcoin price. Combined with strong institutional interest and ETF inflows, the market appears poised for further upward movement. While past performance is not indicative of future results and the Trump administration has reportedly filed an appeal, the prevailing sentiment suggests the stage is set for a potential Bitcoin rally towards new highs.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.