The crypto market has seen a significant recovery from its severe crash following the US-India trade deal. As the US President Donald Trump has loosened his tax policies on Indian goods, crypto prices are witnessing a renewed positive momentum. After months of trade tensions and policy pressure, both countries have reportedly released a framework for an interim trade agreement to lower tariffs.
Breaking Down the New US–India Trade Agreement
Offering a breather during a period of rising geopolitical tensions, US President Donald Trump announced an interim trade agreement with India to strengthen economic ties. After months of negotiations, the countries have agreed to the US-India trade deal, with Trump lowering the previous 50% tariffs. From today, Indian goods shipped to America will only be charged an 18% reciprocal tariff. The White House statement read,
As CoinGape reported, Trump confirmed the deal earlier this week. The statement also shed light on fresh discussion on the Bilateral Trade Agreement. While both countries agreed last year to work toward the pact, it went unrealized as Indian PM Narendra Modi refused to open its agricultural market.
In addition, the US underscored the vision of the US-India trade deal. Both countries intend to strengthen their economic ties and improve security. The U.S. has also said it will consider India’s request to further reduce tariffs on Indian goods during these discussions. They aim to work closely on investment rules, export controls, and joint efforts to deal with unfair trade practices from other nations. They will also support innovation and long-term cooperation.
India to Boost Purchases and Tech Trade with the US
Reports also state that India is planning to buy nearly $500 billion worth of goods from the US over the next five years. This decision comes in response to the US-India trade deal, as Trump lowered the tariffs. India intends to purchase energy supplies, aircraft and parts, precious metals, technology products, and more.
PM Modi views this US-India trade deal as a major step towards strengthening economic ties. He stated,
Crypto Market Recovers: Is a Rally Ahead?
In response to the US-India trade deal, the crypto market has significantly recovered from one of its largest crashes. Currently, the industry is up by 5.56%, reaching $2.34 trillion. Although this marks is a multi-month low, the recovery has sparked new waves of optimism about a potential rally.
Top cryptocurrencies like Bitcoin, Ethereum, and XRP have seen notable upticks over the past 24 hours. Bitcoin, which slipped to a low of $60k, managed to surge past $70k today. Ethereum, after nearly touching a low of $1,500, surged to the $2k level. As CoinGape reported earlier today, experts are not sure about when this crypto winter will end. However, if these tokens manage to hold these levels, a potential crypto market rally could be on the horizon.
Source: https://coingape.com/us-india-trade-deal-will-trumps-tariff-relief-boost-crypto-market/
