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Trump raises car tariffs! Is Bitcoin going to cool down or To da moon? The latest Depth interpretation is here.
Brothers, Trump is stirring things up again! On Wednesday (April 2, 4 PM US time), this old guy is going to announce a 25% tariff on all imported cars, directly targeting China, Canada, Mexico, and 12 other countries.
As soon as the news broke, the market went into a frenzy—did Bitcoin crash along with the US stock market, or did it soar against the trend? Let's get straight to the point!
Bitcoin recent performance: dropped a lot
Price trend: At the beginning of the year, it was still above 100,000 USD, directly dropping to around 85,000 in March, and recently it has been fluctuating.
Why is it dropping?
Tariff policies are making Wall Street worried about a global economic recession, and funds are frantically fleeing to gold.
Bitcoin is now strongly correlated with the US stock market; when the S&P 500 drops, BTC also shakes.
But! I believe that the worst times may have already passed!
The Three Major Impacts of Tariffs on Bitcoin
Short-term bearish:
Market risk aversion is rising, and funds may continue to flow out of high-risk assets such as Bitcoin.
If the US stock market crashes, $BTC may drop again (referencing the 9% drop in BTC on the day after the February tariff news).
Long-term bullish:
Tariff cuts weaken the dollar hegemony, and Bitcoin as "digital gold" may benefit (just like gold is surging now).
Institutions are still laying out their plans, for example, Grayscale's research director Zach Pandl has stated: "Bitcoin will definitely break its previous high this year!"
Black Swan Script:
If tariffs trigger a global trade war, the Federal Reserve may be forced to cut interest rates and inject liquidity, which could ultimately benefit BTC.
Operating advice: Should we buy the dip now or run away?
Short-term: Keep an eye on the support level of 85,000; if it breaks, it may test 80,000; if it holds, the rebound target is 90,000.
Long line:
If you believe in the "digital gold" narrative, buy in batches on dips.
Remember Pandl's words: "Bitcoin will win in the long run, otherwise why would I resign from Wall Street?"#特朗普对等关税政策将公布