Affected by negative inflation data and uncertainty regarding tariffs on April 2, cryptocurrencies have fallen, with Bitcoin dropping below 83700 and Ethereum breaking below 1800.
A few days ago, it was predicted that Bitcoin could find support at 83500, assuming normal inflation data. Before April 2, a drop to 83500 might provide support. As a result, that night, the inflation data showed an increase, and the target of 83500 was reached in just a few hours, with no significant spike during the second drop, but rather a gradual decline.
When reviewing the evening of March 29, Bitcoin did not gain enough rebound strength, closing very weakly, leading to the judgment that 83500 could not hold and may continue to decline.
The performance of altcoins has been relatively weak in the past two days, entirely dependent on Bitcoin and Ethereum. A clearer direction is expected only after the tariff date is confirmed, and recovery will still take time.
The price of ETH has fallen below 1800, and the leveraged long positions accumulated over the past month have been liquidated again.
Generally speaking, in a gradual decline, there is rarely any operational space. Only after a sharp spike, if a relatively long lower shadow line is formed on a 4-hour chart, could the market ease.
The recent drop is related to Trump's latest claim that "the targets for the reciprocal tariffs to be announced this week will include all countries globally, not just the 10 to 15 countries with the most severe trade deficits."
"Imposing tariffs on all countries worldwide"?
This undoubtedly caused huge panic in the financial markets. This morning, Nasdaq futures fell more than 3% in the Asia-Pacific session, Nasdaq 100 index futures also fell more than 1%, and Dow Jones index futures and S&P 500 index futures all declined.
The U.S. stock market looks very weak; the gains from the previous ten days have almost disappeared in three days, and it has reached a new low since September of last year.
U.S. stocks are not performing well, and Japan, South Korea, and Hong Kong stocks have also experienced a "Black Monday."
In this gradual decline market, there is not much operability for spot trading, and bottom-fishing is likely to get trapped.
The key is whether U.S. stocks can stabilize in the next few days and whether Trump's tariff policy will be as extreme as he said. I personally believe that since the pressure has been placed so high, when the actual announcement is made, it may ease up. After all, Trump is a multifaceted person who likes to change.
That's all for today. Follow 👀 the homepage for the latest information, layout, embrace the bull market, increase your win rate, and say goodbye to being trapped at high positions.
