On Wednesday, Bitcoin prices increased modestly, building on a subdued weekend rebound from lows looming over cryptocurrency market trends.
President Donald Trump’s approach “Liberation Day” tariffs, could be well mark another Trump crypto policy shift that is likely to trigger broad retaliatory measures on US imports has set high fears.
“As Liberation Day approaches, the uncertainty around the magnitude of the tariffs is keeping bitcoin and other risk assets in limbo,” said Nic Puckrin, a founder at The Coin Bureau.
With the Trump Tariffs impact on bitcoin slightly below its 200-day mean and meager liquidation levels, Puckrin believes the market is able to break in either direction. Relief would push prices to $88,000, but more severe-than-expected tariffs could plummet Bitcoin close to $73,000.
“We really could go either way right now, showing just how uncertain the current macro backdrop is,” Puckrin added.
Aiding the Donald Trump executive order on crypto, Fear & Greed Index still languishes in “fear” levels, with low trading volume reflecting investors’ reluctance. Puckrin remains optimistic on the long-term potential of Bitcoin but concedes the timing is uncertain.
Cryptocurrency Market Trends Need Its Own Spark
Trump’s tariffs and crypto repercussions’ external factors maintain an exertion of pressure on the space, other experts argue that it is actually missing an industry-specific catalyst, with Chris Chung, whose Solana-based Titan swap platform, saying that “crypto needs an industry-specific catalyst to restart the bull run.”
He mentions a potentially game-changing blockchain innovation or big platform release as the kind of news that would trigger euphoria – and fresh money – into cryptocurrencies. “Until we see a big announcement like that, crypto will continue moving in lockstep with the wider market sentiment,” Chung stated.
Bitcoin isn’t alone waiting and watching, as Ethereum held at $1,877 on Wednesday, while Bitcoin ETFs like iShares Bitcoin Trust gained 1%, potentially making it the best cryptocurrency to invest in April, with top April 1 crypto picks rose 3%. Even Coinbase stock inched up, indicating guarded market optimism.
Ultimately, a few like CoinShares’ James Butterfill believe that Bitcoin will bounce back. “When the market realizes, the U.S. can’t keep raising interest rates while the economy weakens… bitcoin will likely rebound,” he said.
The cryptocurrency market trends for the future currently remain uncertain but aren’t necessarily deprived of optimism.
Inside Telecom provides you with an extensive list of content covering all aspects of the Tech industry. Keep an eye on our Cryptocurrency section to stay informed and updated with our daily articles.