$BTC Bitcoin's drastic downturn can be attributed to a combination of factors, primarily driven by macroeconomic uncertainty and geopolitical tensions. One of the main catalysts is Donald Trump's announcement of new trade tariffs, which has sparked a broader market sell-off, affecting both traditional and crypto markets

This has led to a risk-off environment, where investors are moving away from volatile assets like cryptocurrencies. As a result, Bitcoin's price has fallen by almost 14% over the past four days, testing the $91,281 level, the lowest since January 13

Additionally, the strengthening U.S. dollar and declining stock futures have contributed to the downward pressure on Bitcoin. The fear and greed index has also dropped to 39 points, indicating fear among cryptocurrency investors

Despite this, Bitcoin still maintains strong technical support at around $92,000, which has proven to be a reliable defense line over the past two months. However, short-term volatility should be expected as the market digests current geopolitical and economic uncertainties

It's worth noting that Bitcoin's recent lack of volatility is also significant, as it's been closely following global developments and the stock market. The S&P 500 and Bitcoin are both up by around 4% so far in 2025, and Bitcoin has fluctuated between $94,000 and $100,000 for the past two weeks, exhibiting reduced volatility compared to its historical average