Bitcoin (BTC) is up 2.0% this week to $84,081,
slightly retreating from a 4.0% rise on April 1, when it briefly hit $85,466 on
speculation of a softer-than-expected tariff introduction.
April 2, dubbed "Liberation Day,"
marks U.S. President Donald Trump's planned imposition of reciprocal tariffs on
all nations that levy duties on U.S. exports. The worst-case scenario suggests
a blanket 20% tariff on all U.S. imports, while a more optimistic outlook
involves a framework of individual tariffs. These possibilities emerged as BTC
traded at $82,500, momentarily easing market pressure. Meanwhile, the Federal Reserve's
monetary easing provided additional support to crypto prices.
Bitcoin is approaching key resistance at
$89,000–$91,000, setting the stage for a potential breakout—if not for
uncertainty surrounding the tariff policy. Some view BTC as a hedge against
tariffs, while others warn that rising inflation could create downward
pressure.
On the institutional side, spot Bitcoin ETFs,
including BlackRock’s IBIT, Fidelity’s FBTC, and Grayscale’s GBTC, recorded net
inflows of $341.8 million last week, with minor outflows of $93.6 million this
week. Despite market concerns, the overall balance remains positive, signalling
potential upside. However, a pullback to the $70,000–$80,000 range cannot be
ruled out.
In a regulatory boost, the Federal Deposit
Insurance Corporation (FDIC) announced that banks no longer need permission to
engage in digital asset activities, overturning a 2022 notification that
restricted crypto operations. This could accelerate mainstream
adoption—especially if BTC’s rally gains momentum.
From a technical perspective, Bitcoin is
hovering near a crucial resistance level. A decisive breakout above $91,000
could trigger a rally toward $150,000–$200,000. Conversely, failure to break
through may lead to a pullback toward the $79,000–$81,000 support zone. All
eyes are now on Trump’s tariff decisions, which could dictate Bitcoin’s next
move.