U.S. President Donald Trump is set to announce new tariffs on April 2nd as part of a plan dubbed ‘Liberation Day’. Traders have adopted a wait-and-see approach, with the price of the leading cryptocurrency holding above $83,000.
According to The Guardian, the forthcoming announcement of reciprocal tariffs against U.S. trading partners is expected to trigger a chain reaction that could escalate into a ‘global economic war’.
“The market is currently in a holding pattern as the details of the tariffs have yet to be disclosed,” stated Min Zhong, an analyst at The Block from Presto Research.
Some investors believe the impact may be less severe than anticipated. They view the recent dip as a buying opportunity for assets at a ‘bottom’, the expert suggests.
He noted that many traders prefer to remain cautious until more clarity emerges. According to Zhong, the market’s future movement will depend on the tone and content of the official announcement.
At the time of writing, Bitcoin is trading at $83,013, according to CoinGecko. The daily increase is 1.4%.
Ethereum has surged by 2.4% to $1,845, XRP by 0.7% to $2.10, and Solana has gained 0.3% to $125.84.
The Worst Quarter
According to CoinGlass, the first quarter of 2025 was Bitcoin’s worst since 2018. The cryptocurrency’s price fell by 11.82%, dropping below $80,000 after a record high of $108,000 in January.
The prolonged correction is likely linked to the potential refusal of the Fed to lower interest rates and pressure from Trump’s tariffs on imports from Canada, Mexico, and China.
Brickken analyst Emmanuel Cardoso believes the market could recover in the second quarter, “if the Fed does lower rates and the administration presents more detailed steps to support the crypto industry.”
“With increasing institutional flows, momentum could strengthen. Bitcoin could potentially retest the $100,000 mark if we overcome the $88,668 resistance, but a decline is also possible if macro factors stall,” the specialist warned.
Back on March 26, analysts at Glassnode reported that whales had acquired $11.2 billion worth of Bitcoin over two weeks. This marks the fastest accumulation pace since August 2024.