# Bitcoin Steady Amid Trump Tariff Threats and IMF-Driven El Salvador Reform

By Riza Dagoc

Canonical URL: https://www.tokenpost.com/news/regulation/13898
Published: 2025-02-01T02:21:07.000Z
Updated: 2025-02-01T02:21:07.000Z
Section: Investing

> Bitcoin saw minor losses on Friday, hovering around $104,630 as concerns over U.S. trade tariffs under Donald Trump weighed on risk appetite. The cryptocurrency experienced wild swings this week, briefly dipping below…

Bitcoin saw minor losses on Friday, hovering around $104,630 as concerns over U.S. trade tariffs under Donald Trump weighed on risk appetite. The cryptocurrency experienced wild swings this week, briefly dipping below $100,000 before rebounding to a range between $100,000 and $105,000.

Trump’s renewed tariff threats against BRICS nations, alongside potential 25% duties on Canada and Mexico and a 10% levy on China, heightened fears of a global trade war, pressuring crypto markets. Investors also remained cautious ahead of key U.S. PCE inflation data, a crucial factor in the Federal Reserve’s interest rate decisions.

El Salvador approved a major amendment to its Bitcoin law to secure a $1.4 billion IMF deal. The revision makes Bitcoin acceptance voluntary in the private sector, addressing IMF concerns over its initial legal tender status. The move signals a shift in the country’s Bitcoin strategy after its debt-backed BTC adoption failed to boost economic growth.

Meanwhile, the memecoin sector surged after Errol Musk, father of Elon Musk, revealed plans to launch "Musk It" ($MUSKIT). The token, initially introduced by a Middle Eastern firm in December, gained 440% following Musk’s interview with Fortune. However, Elon Musk has no involvement in the project.

Elsewhere, major altcoins remained steady. Ethereum rose 3% to $3,355, XRP traded flat at $3.097, and Solana, Cardano, and Polygon saw slight gains. Dogecoin climbed 0.7%, while Trump’s $TRUMP token slid 4.2%, now down 60% from its post-launch peak.

With markets eyeing inflation data and ongoing geopolitical developments, Bitcoin remains in a tight range, awaiting clearer signals for its next move.