$BTC

Trump’s tariffs have led to global market fluctuations, which have also affected Bitcoin’s price.

Bitcoin’s price is now more correlated with traditional market movements due to economic policy influences.

Bitcoin, however, needs to break above $86,300 to signal a potential upward trend; otherwise, it may continue to fall.

Global markets faced sharp fluctuations after Trump’s tariff announcement this week. The tariffs hit US stock markets hard, with steep declines in the S&P 500, Nasdaq, and Dow Jones. This also affected the cryptocurrency market.

Bitcoin initially rose after Trump’s announcement but then dropped about 5% to $81,300. However, selling pressure has been absorbed for now. At first, BTC climbed as high as $88,500 but later followed a downtrend, holding its one-week support level near $82,500. As stock markets see their steepest declines since the COVID-19 pandemic, Bitcoin’s resilience has given investors some confidence.

However, concerns about the global economy remain a major risk for crypto. Tariffs could increase inflation, which may lead Fed to take a stricter stance on interest rate cuts. This would create a less favorable environment for Bitcoin. Given the rapid flow of capital in the crypto market, macroeconomic risks could lead to even more volatility in the coming week.