Forecast: Crash or Rally as Trump Tariffs Stir Crypto Storm?

Coinbase’s has been on a rollercoaster ride. After a sharp 42% drop following the October 10 crypto crash, it bounced back strong this year. But now, fresh tariff threats from President Donald Trump against the European Union over the Greenland issue are shaking things up again. Investors wonder: will crash or rally?

The Trump Tariff Threat and Its Crypto Impact

Trump’s plan for 10% tariffs on European countries tied to the Greenland dispute echoes last year’s trade moves. Those earlier tariffs sparked big selloffs in Bitcoin and the crypto market. History might repeat itself.

Bitcoin recently fell 3% to around $92,000. Why? Reports say EU nations could hit back with $100 billion in tariffs and limits on US firms. This news rattled markets worldwide.

European stocks dropped hard on January 19. US futures point to a lower open, and the Nasdaq 100 slid over 1%. Trade war fears are back, putting pressure on risk assets like crypto.

How Tariffs Could Hit

As a Nasdaq-listed stock, feels the heat from broader market jitters. Coinbase, the company behind it, just pulled support for the US Senate’s CLARITY Act. This key bill aims to set rules for crypto markets.

The mix of tariff talks and bill drama adds uncertainty. Traders are on edge ahead of big economic reports this week. A risk-off mood could push lower.

But Coinbase CEO Brian Armstrong pushed back on rumors. He denied White House threats to drop bill support after a delay. Armstrong said the Trump team has been helpful in fixing issues.

Recent Performance: Signs of Strength

Early 2026 brought mixed but mostly positive vibes for . The stock climbed over 10%, trading between $240 and $250. Strong Bitcoin action and more big institutions buying crypto helped.

Last Friday, it closed up 0.78% at $241.15. Volume was light, below the usual 9 million shares. Still, the range holds firm thanks to crypto momentum.

Wall Street Bulls Stay Optimistic on Coinbase

Analysts aren’t backing down. Average price targets sit at $352, even with bear risks and rules hurdles. Big names like Bank of America and Goldman Sachs just upgraded from neutral to buy.

Bank of America keeps its $340 target. They love Coinbase’s growth beyond crypto trades. Now, it’s pushing into stock trading, prediction markets, derivatives, and even banking.

• Key Growth Areas:
• Stock trading platforms
• Prediction markets for events
• Derivatives for advanced traders
• Banking services for crypto users

This diversification makes Coinbase less tied to pure crypto ups and downs.

Technical Warning Signs for

Not all looks rosy. trades below its 50-day and 200-day moving averages. Worse, it formed a “death cross” on the daily chart. That’s when the short-term average crosses under the long-term one—a bear signal.

If tariffs escalate or courts rule against crypto, a pullback could happen fast. Short-term downside risk is real in this setup.

Bitcoin’s Role in Future

Coinbase thrives when Bitcoin does. BTC at $92,000 shows strength, but tariff fears trimmed gains. A broader market dip could drag BTC lower, hurting fees from trades.

Yet, institutional adoption grows. More big money flows into crypto via Coinbase, boosting revenue even in shaky times.

Macro Events to Watch This Week

Keep eyes on these:

1. US economic data releases
2. Fed comments on rates
3. EU response to tariffs
4. Crypto bill updates in Senate

Positive surprises could spark a rally. Bad news might trigger a crash.

Crash or Rally: What’s the Outlook for ?

Short-term, volatility rules. Tariff drama and technicals lean toward caution—possible dip to $220 support. But long-term bulls see upside to $350+.

Trump tariffs add risk, but Coinbase’s expansions and analyst backing provide a floor. If Bitcoin holds $90k and trade talks ease, could rally hard.

Investors: Watch volume spikes and Bitcoin moves. A break above $250 signals strength. Below $240? Brace for more pain.

In this Trump tariff storm, could crash on fear or rally on resilience. Stay tuned—crypto never sleeps.

Final Thoughts

The battle between trade wars and crypto growth will decide ‘s path. Diversification helps Coinbase weather storms, but markets hate uncertainty. Will it be crash or rally? Your move, traders.