Bitcoin's price saw a rebound following President Trump's delayed tariff threats on Mexico and Canada, which postponed tariffs for 30 days, though 10% tariffs on Chinese imports went into effect. The cryptocurrency's price rose from a low of $92,900 to $102,000 as geopolitical tensions lessened. Still, as of Tuesday noon in New York, Bitcoin traded around $99,722. Market analysts noted heightened inflation expectations linked to these trade developments, seeing a small rise in the two-year breakeven inflation rate on Treasury Inflation-Protected Securities. The Federal Reserve indicated that achieving its 2% inflation target might become more difficult due to potential trade policy changes. Experts suggest that Bitcoin's price could remain stagnant until the bond market indicates a shift away from inflation fears. The looming threat of tariffs on European nations adds further uncertainty, prompting market participants to consider the possibility of Trump acting on other trade proposals soon.

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