Crypto traders' accusations that President Trump’s recently imposed 25% tariff on Indian imports is intentionally tanking Bitcoin prices to manipulate markets appears to be a reaction to the trade and geopolitical tensions surrounding the tariff. The tariff was officially announced as a punitive measure against India for its continued purchase of Russian oil, which the U.S. administration claims poses a national security and foreign policy threat. This additional 25% tariff on Indian goods, effective 21 days after the order signing, is intended to pressure India economically to reduce its Russian oil imports and comes on top of existing tariffs, raising the total to around 50% for many Indian goods.
While traders contend this tariff could disrupt markets, including cryptocurrencies like Bitcoin, there is no direct evidence that the tariff is specifically designed to manipulate Bitcoin prices. Instead, the tariff is part of broader trade and geopolitical disputes involving U.S. sanctions against Russia and India's trade policies. Market responses, including in crypto, likely reflect general uncertainty, increased economic tensions, and risk sentiment rather than explicit market manipulation by the tariff itself.
In summary, the 25% tariff on India is a trade and foreign policy tool aimed at curbing India’s Russian oil purchases. The crypto market's reaction and trader accusations about market manipulation stem from the increased uncertainty and volatility such geopolitical moves can create, not from clear evidence of a direct link to Bitcoin price manipulation.
