Bitcoin Edges Higher as Supreme Court Curbs Trump Tariff Powers, Markets Reprice Policy Risk

Bitcoin caught a modest bid after the Supreme Court narrowed the White House’s latitude to impose tariffs, prompting traders to recalibrate policy risk across macro assets. The price dipped on the headline, then reversed: BTC slid to $66,900 right after the decision dropped at 10 a.m. ET, rallied toward $67,800, and last traded near $67,271—about 1% higher on the day. Gold traced a similar pattern, briefly touching $5,000 before climbing 1.8% to $5,090 per ounce.

The ruling, a 6-3 decision authored by Chief Justice John Roberts, concluded that most of the tariffs enacted by President Donald Trump were not permitted under the 1977 International Emergency Economic Powers Act (IEEPA). The Court said the administration’s interpretation would dramatically broaden presidential authority over tariff policy and lacks historical backing. Not every levy is affected, but the opinion draws a bright line around emergency powers and tariff-making.

Focus on the repricing of “policy premium.” Since last year, tariff threats have injected persistent uncertainty into cross-border trade and inflation expectations. That turbulence coincided with a sharp reset in Bitcoin—from a post-election high of $106,000 to $76,300 in April—as traders weighed tighter financial conditions and shifting global supply chains. Today’s ruling trims one pathway for unilateral tariff action, which can ease tail risks around sudden cost shocks. Markets initially flinched—headline-reading algos often sell first on legal complexity—then leaned into the idea that clearer constraints on executive action can reduce volatility over time.

Still, the story isn’t clean. Justice Brett Kavanaugh’s dissent emphasized that the decision doesn’t resolve whether the government must return billions collected under the disputed tariffs. If lower courts order refunds, he warned, the unwind could become administratively chaotic. That residual uncertainty helps explain why gold advanced alongside Bitcoin: some investors are hedging legal and geopolitical aftershocks even as immediate tariff risk cools.

Microstructure matters here. Crypto’s liquidity at top-of-hour releases is frequently thin, and automated systems will move first on key words like “exceeded authority” before humans digest what’s untouched by the ruling. The quick downtick to $66,900 and snap back toward $67,800 fits that pattern—fast positioning washout, then a grind as discretionary money re-assesses the macro path. On-chain flows tend to lag these legal catalysts, while derivatives funding and basis adjust within minutes as basis traders recalibrate.

Politically, tariff posture remains a live lever. The president has softened rhetoric around “reciprocal” tariffs at times, yet continues to threaten levies to secure international objectives. He reportedly blasted the ruling and hinted at a backup strategy—signals that keep a risk premium in place even with IEEPA narrowed. The Court’s boundary-setting nudges power back toward legislated trade policy, which many market participants view as more predictable than emergency-driven rulemaking.

What to watch next: - Scope: Which tariffs remain intact outside IEEPA, and how fast agencies adjust to the ruling. - Litigation over refunds: Any lower court moves that could create cash flow and compliance frictions. - Inflation pulse: If perceived tariff risk fades, the implied path for goods prices and policy rates may shift. - Market behavior: Whether Bitcoin keeps trading as a high-beta macro asset with a geopolitical hedge bid, especially into further policy headlines.

For now, the tape says “less arbitrary tariff risk,” not “no tariff risk.” That nuance explains why both Bitcoin and gold found buyers: legal clarity reduced one source of shock while the broader policy chessboard still invites hedging.