Bitcoin Faces Market Volatility: Trump’s Tariff Policy and Its Impact on Cryptocurrency

On April 2nd, COINOTAG News reported that former President Trump is set to unveil a major tariff initiative at 4:00 AM on April 3rd (Beijing time), aiming to increase tariffs on key Asian nations significantly. The proposed plan could introduce a sweeping 20% tariff on commodities worldwide, raising concerns over inflationary pressures. In parallel, the U.S. ISM Manufacturing PMI has contracted, reaching its lowest point since May 2023. This backdrop has led to a 10% year-to-date decline in Bitcoin (BTC), illustrating a tightening market risk appetite. Analysts from Bitunix note that with the anticipated tariff policy affecting market sentiment, U.S. equities may face increased volatility, prompting investors to assess the role of cryptocurrencies as potential safe havens. Observing crucial support levels at $78,000, a potential dip below this mark may flirt with the $75,000 threshold. Traders are advised to adopt a cautious approach, closely monitoring shifts in market risk and identifying potential low-entry points for breakout scenarios.