When Trump first introduced tariffs, he emphatically stated, “It’s over, you’ll be paying the bill.” However, over time, we witnessed numerous delays, negotiations, and agreements. Amid these geopolitical shifts, cryptocurrencies experienced significant volatility. Recently, a major development sparked an upward trend in cryptocurrency markets.
Why Are Cryptocurrencies Rising?
Trump wielded tariffs like a weapon and secured important deals. Yet, certain U.S. companies and trade partners hold greater clout than the tariffs themselves. Among them is NVIDIA, boasting a market value exceeding $4 trillion. Nvidia and AMD established a deal with Trump, agreeing to direct 15% of their chip sales revenue from China to the U.S.
By agreeing to forfeit a portion of their revenue to bypass export restrictions, these companies effectively stated, “We are bigger than tariffs.” This agreement signifies China’s escape from AI sanctions, shifting the economic burden to the U.S.
On Friday, the U.S. Department of Commerce resumed issuing H20 export licenses, though the motive remained unknown. After Trump met with Nvidia CEO Huang, this move took place, sparking speculations. The speculations evolved into reality, indicating a quiet shift for major corporations.
Nvidia Faces Financial Challenges
Trump’s export restriction licensing resulted in a $4.5 billion blow to Nvidia. CEO Huang projected that Chinese restrictions could create a $50 billion shortfall for Nvidia in two to three years.
By 2025, Nvidia aims to sell approximately 1.5 million H20 chips to China. These sales are projected to generate $25 billion in revenue, helping the company avert a $50 billion loss, albeit with a $3.8 billion cost.
The Need to Negotiate with Trump
While tariffs normalized for countries, trillion-dollar giants like Apple and Nvidia also faced treatment akin to nations under Trump’s view. This perspective was evident when a 25% tariff on iPhones was announced in May 2025.
Apple swiftly engaged with Trump, announcing a $600 billion investment in the U.S. shortly thereafter. What about Intel? Trump’s displeasure was voiced when the Intel CEO failed to reach an agreement, suggesting the CEO’s resignation. This sparked share declines starting August 7. Trump alleged the Intel CEO had interests with China due to his reluctance to negotiate. Guess what happens today? The CEO is en route to meet Trump at the White House.
Cryptocurrency Surge in Motion
Trillion-dollar corporations stabilizing provide positive momentum for cryptocurrencies. When NVIDIA shares rise, so do cryptocurrencies. Cryptos, often treated as tech assets, benefit as the AI economy, encompassing the emerging internet narrative, lifts their value.
Owing to this positive correlation, with NVIDIA’s issues resolved, Bitcoin
$
120,121 surpassed $122,000. Potential agreements with Intel may further boost market sentiment.
