Wall Street professionals are currently witnessing a massive reshuffling of capital across both traditional and digital asset classes.
The atmosphere in the trading pits is electric as the clock ticks toward the 9pm ET State of the Union address.
Wealthy traders, often called whales due to their ability to move markets with large transactions, are not waiting for the president to take the podium. They are shifting millions of dollars into defensive positions and speculative bets.
This urgent movement follows a series of shocks that have left the global financial system on edge.
Related: Trump imposes major global tariffs after Supreme Court's decision
Supreme Court curbs Trump's emergency tariff powers
The market tension traces back to a major legal blow delivered last week on Feb. 20.
In a 6–3 decision, the US Supreme Court ruled that Trump exceeded his authority when he used the 1977 International Emergency Economic Powers Act (IEEPA) to impose sweeping "reciprocal" tariffs on dozens of countries.
Chief Justice John Roberts wrote:
"We hold that IEEPA does not authorize the president to impose tariffs."
Trump first launched the tariff wave on April 2, 2025, a day he branded " Liberation Day. " His administration argued that persistent US trade deficits constituted a national emergency, allowing him to bypass Congress under IEEPA.
The Supreme Court ruling specifically invalidated tariffs imposed under IEEPA but left intact sector-based tariffs enacted under other trade laws.
Trump called the decision "deeply disappointing" and insisted the Court had only limited one legal pathway. In a TruthSocial post , he wrote:
"As President, I do not have to go back to Congress to get approval of Tariffs. It has already been gotten, in many forms, a long time ago!"
Within hours, Trump signed a proclamation invoking Section 122 of the Trade Act of 1974 to impose a new 10% global tariff for up to 150 days, later stating he would raise it to 15%.
Popular on TheStreet Roundtable:
Markets wobble as uncertainty returns
Markets reacted quickly.
US stock futures turned lower, with S&P 500 futures down roughly 0.8% and Nasdaq futures off about 1% following the renewed tariff push. Crypto initially popped on the Supreme Court ruling but failed to sustain momentum.
Bitcoin briefly climbed above $67,800 before reversing.
By early Monday trading, BTC had fallen below $65,000, shedding as much as 5% intraday. The broader crypto market followed, as traders pulled capital from risk assets.
The volatility comes ahead of Trump's 2026 State of the Union address, scheduled for 9 p.m. ET before a joint session of Congress.
Under the US Constitution, the president is required to periodically provide Congress with information on the "State of the Union" and outline legislative priorities.
In modern practice, the speech often shapes expectations around fiscal policy, trade, defense and regulation, all macro variables that directly affect crypto markets.
More News:
-
Nobel prize-winning economist slams 'Trump trade' for Bitcoin crash
-
Over $19 billion liquidated in worst crypto crash since COVID
Mysterious traders move millions before speech
Hours before the address, large Bitcoin holders began moving substantial sums onchain. Blockchain tracking service Whale Alert flagged multiple high-value transactions on Feb. 24, including:
-
2,000 BTC(worth approximately $126 million) transferred between unknown wallets
-
808 BTC(around $51 million) moved from Coinbase Institutional to an unknown wallet
Large transfers to exchanges are often interpreted as potential sell pressure, while withdrawals can suggest custody shifts or longer-term holding. However, whale activity ahead of major political events frequently reflects risk management rather than outright directional bets.
High-profile speeches, especially amid trade disputes and legal reversals, can act as "event risk" triggers.
Even if crypto is not directly mentioned, shifts in tariff policy, inflation expectations or fiscal signaling can impact the US dollar, Treasury yields and broader risk sentiment.
With Bitcoin already down sharply from its October high near $126,000 and liquidity thinner than earlier in the cycle, positioning appears cautious.
At the time of writing, Bitcoin (BTC) was trading at $62,932.94, down 4.8% over the past 24 hours. Ether (ETH) fell 5.36% to $1,814.93, while XRP slid 4.76% to $1.3249, as broad-based risk-off trading kept pressure on majors.
This story was originally published by TheStreet on Feb 24, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
