Bitcoin traded at $109,340 (up 0.6%) on Tuesday, with gains capped by new U.S. tariff threats from former President Donald Trump. Trump's administration notified 14 countries—including Japan, South Korea, Serbia, Thailand, and Tunisia—of impending tariffs up to 40%, delayed from July 9 to August 1. Trump emphasized the deadline is "not 100% firm," injecting market uncertainty that dampened risk appetite for cryptocurrencies.
Despite tariff headwinds, institutional demand remains robust. BlackRock's iShares Bitcoin Trust (IBIT) surpassed 700,000 BTC holdings (worth $75.6B), becoming the firm's third-highest revenue generator just 18 months post-launch. Crypto investment products saw nearly $1 billion in net inflows last week, lifting total assets to a record $188 billion, with Bitcoin funds capturing the majority.
Altcoins showed mixed movements: Ethereum rose 1.2% to $2,586, XRP gained 0.5%, and Solana edged up 0.6%. Memecoins diverged sharply—PNUT surged 10% after Elon Musk referenced a viral squirrel named "Peanut," while TRUMP fell 1.1% ahead of a major token unlock. A Grok AI hallucination about "MechaHitler" spawned 200+ speculative tokens, one reaching a $2.2M market cap.
Market technicals suggest caution: Ether perpetuals open interest hit 5M ETH (highest since 2020), signaling volatility risk. Traders eye "Crypto Week" starting July 14, when U.S. lawmakers will debate three key bills: the CLARITY Act, Anti-CBDC Surveillance State Act, and GENIUS Act.