Key Notes
- With BTC already down over 20% since mid-January, it is on track for its worst Q1 performance since 2018, while Gold price hits fresh all-time high.
- Analysts remain divided on BTC’s next move, with some predicting a drop below $80,000 could push prices toward $70,000.
- However, on-chain data shows optimism with long-term holders withdrawing 30,000 BTC from exchanges over the past week .
Bitcoin BTC $84 865 24h volatility: 2.8% Market cap: $1.68 T Vol. 24h: $27.15 B price came crashing down to $81,500 levels earlier today as global markets brace for an uncertain week as Trump’s reciprocal tariffs kick in on Liberation Day, April 2. As a result, BTC is on the path to registering its weakest Q1 performance in seven years, since 2018. On the other hand, Gold price is touching historic all-time highs, shooting past $3,150 per ounce.
Will Trump Tariffs Cause Another Bitcoin Price Crash?
This week, US President Donald Trump will roll out “reciprocal tariffs”, with him referring to April 2 as the “Liberation Day” for the first time in a long time. The new measures will impose tariffs exceeding 20% on imports from more than 25 countries. By the end of April, these tariffs are expected to affect over $1.5 trillion in imported goods.
Since the beginning of the year, the Trump trade war has escalated ever since he took charge at the White House in January. This has led to major turbulence in the global markets over the past three months, with BTC and altcoins correcting over 20% since mid-January.
Additionally, over the last two months, gold funds are experiencing unprecedented demand, with gold ETFs attracting $12 billion in net inflows. While the S&P 500 has declined 5% year-to-date, gold prices have surged nearly 17%, reinforcing its status as a preferred safe-haven asset amid market uncertainty.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
