Bitcoin (BTC) maintained a relatively stable position on Friday, even as the US Supreme Court delivered a significant blow to President Donald Trump’s trade tariffs, sparking a modest reaction in the broader markets. The Supreme Court’s decision, which ruled that certain tariffs imposed under the International Emergency Economic Powers Act (IEEPA) were illegal, sent ripples through financial markets but had a muted impact on the cryptocurrency.
Data from TradingView showed BTC price action centered around $67,000, while US stocks saw a slight uptick. The overall risk-asset response was subdued, as the Supreme Court clarified that while some tariffs were illegal, others remained legal.
Supreme Court Ruling: A Landmark Decision
The Supreme Court’s 170-page ruling was unequivocal: “IEEPA does not authorize the President to impose tariffs,” it stated. This decision could have far-reaching implications, with trading resource The Kobeissi Letter estimating a potential $150 billion in tariff refunds. “Today’s Supreme Court ruling will be referenced for decades to come,” the letter noted on X.
Economic Data Dampens Fed Rate Cut Hopes
Earlier in the week, economic data added to the market’s uncertainty. The Personal Consumption Expenditures (PCE) Index, the Federal Reserve’s preferred inflation gauge, hit its highest levels since late 2023, reaching 3%. GDP data for Q4 2025 also fell short of expectations, growing by 1.4% instead of the anticipated 3%.
These numbers further reduced the likelihood of a March interest rate cut by the Federal Reserve. According to CME Group’s FedWatch Tool, the probability of a 0.25% rate reduction at the March FOMC meeting is now a mere 4%. Despite the gloomy economic outlook, some analysts remain optimistic about the stock market’s performance.
“Even if the Fed goes an extended period on hold with interest rates, it’s worth remembering that financial conditions are still running much looser than average,”
Mosaic Asset Company summarized in an update, adding that these conditions should continue to support the bull market for the time being.
Bitcoin’s Downward Trajectory Continues
While the broader market showed signs of resilience, Bitcoin traders were less sanguine. The cryptocurrency has been struggling to break out of its downward trend, with bears firmly in control. Trader Jelle emphasized the ongoing bearish sentiment, stating, “Bears remain in control—driving price lower and lower. Don’t fight the trend, embrace it as the opportunity it presents: another chance to load up on cheaper coins.”
Rekt Capital highlighted the importance of the 200-week exponential moving average (EMA), warning that a weekly close below this level could signal further bearish momentum. “History suggests Weekly Closes below the 200-week EMA followed by bearish retests of the EMA into new resistance can spur on the next phase of Bearish Acceleration to the downside,” he wrote.
Looking Ahead
Despite the current challenges, Bitcoin’s resilience and the potential for significant market shifts remain a focus for traders and analysts. The Supreme Court’s ruling and the broader economic environment will continue to influence market dynamics. For now, Bitcoin’s position around $67,000 is a critical level to watch, as it could indicate whether the downward trajectory will continue or if a rebound is on the horizon.
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