Trump first admits that some of the tariff costs are borne by American consumers. How did the crypto market react?

U.S. President Donald Trump on November 6th acknowledged that some of the costs of his tariff policies might be borne by American consumers, marking a shift from his long-standing stance that “foreigners pay.” Meanwhile, the U.S. Supreme Court is reviewing whether his broad tariff powers are constitutional. The ruling could have far-reaching impacts on U.S. trade policy, the sustainability of global supply chains, and macroeconomic conditions. The business community has expressed serious concerns, especially leaders in industries like toys and textiles, who face high tariff costs.

Trump’s Subtle Shift: From “Foreigners Pay” to “Partially Bear”

For a long time, Trump insisted that the tariffs on imported goods were entirely paid by foreign exporters to protect domestic industries. However, in his latest statement on November 6th, he admitted, “I think they (American consumers) might be paying some costs, but… Americans are getting huge benefits.” While he still emphasizes the significant benefits tariffs bring to the U.S., this acknowledgment marks a major revision of his long-standing narrative.

This shift comes at a critical moment as the Supreme Court reviews whether his broad tariff authority is constitutional. The court’s decision will not only influence the legality of current tariff policies but could also broadly impact the U.S. financial and regulatory landscape. Government officials are preparing alternative strategies in case the court limits or weakens the president’s tariff powers.

Supreme Court Review: Business Concerns and Supply Chain Challenges

The Supreme Court’s ruling will decisively influence future U.S. trade policies. Currently, the business community is highly uneasy about ongoing high tariffs, viewing them as a serious challenge to supply chain sustainability and corporate profitability.

• Cost Pressures: Rick Woldenberg, CEO of Learning Resources Inc., emphasized that enormous tariff costs are severely impacting business operations.
• Supply Chain Risks: Cassie Abel, CEO of Wild Rye, expressed concerns about the long-term sustainability of supply chains.

These industry concerns reflect the real economic impacts of tariff policies on U.S. entities.

Historical market insights show that similar tariff policy shifts during Trump’s first term once triggered market volatility, highlighting the ongoing influence of global trade tensions on economic expectations.

Macro and Crypto Market Potential Linkages:

Ethereum Price Fluctuations: Down over 19% in 90 Days

While tariffs and trade policies mainly impact traditional financial markets and global supply chains, their macroeconomic ripple effects can also influence the cryptocurrency markets.

Data shows Ethereum (ETH) is currently priced at $3,353.08, with an 11.88% market share and a market capitalization of $404.71 billion. Over the past 90 days, Ethereum’s price has declined by 19.24%. Despite a 24-hour trading volume still high at $37.23 billion, it has decreased by 2.61%.

Analysts suggest that if the Supreme Court rules to limit the president’s tariff authority, the financial sector may need to make significant adjustments to international trade strategies. Experts emphasize that the economy will undergo (Recalibrations) to manage the macroeconomic shocks resulting from such changes. Although technological advances, especially in blockchain and crypto innovation, are unlikely to be directly affected, any major macroeconomic shifts could indirectly cause volatility in Ethereum and other crypto assets by influencing investor risk appetite and global liquidity.

Bitcoin’s Resilience: Watching the $105,000 Resistance

As the market leader, Bitcoin shows strong resilience. Currently trading at $102,256, Bitcoin has successfully held above the key support level of $101,477. Previously, Bitcoin hit a five-month high, reflecting investor confidence in the “King of Crypto.” After a brief correction, Bitcoin is seeking to regain upward momentum.

Market volatility has been decreasing, reducing the risk of Bitcoin dropping sharply below $100,000. However, if bearish sentiment persists, Bitcoin could break below the $101,477 support and test $98,000.

From a technical perspective, if market conditions improve, Bitcoin could rebound from $101,477 and target the $105,000 resistance level. Breaking through $105,000 would be a strong bullish signal, potentially attracting new capital inflows and invalidating the current bearish outlook.

Regulatory and Future Outlook: Constitutional Powers and Economic Stability

The core issue of this case is whether the president can invoke a law from 50 years ago to implement comprehensive tariffs, which is seen as an overreach of executive authority. Regardless of the Supreme Court’s final ruling, this event marks a profound debate over constitutional powers and economic governance.

If the court limits the president’s tariff authority, it could temporarily benefit affected businesses and boost the stock market. However, in the long term, the government might seek other legal authorizations to continue its trade protection policies, though implementation would be more constrained. For the crypto industry, while its direct sensitivity to tariffs is relatively low, the stability of global trade policies will be an important backdrop affecting macro liquidity and investor risk appetite.

Conclusion

Trump’s acknowledgment of tariff costs and the Supreme Court’s review of presidential tariff powers together constitute a dual political and legal risk influencing the global economic landscape. The court’s decision will not only reshape U.S. trade policy but also define the boundaries of presidential influence during emergencies. For crypto investors, while this is not direct industry news, it reflects macroeconomic uncertainty. Expectations of potential major shifts in trade policy could keep crypto markets on alert, with fluctuations in global liquidity and risk sentiment remaining key factors to watch in the near future.