Connect with us

Bitcoin

‘Trump Trade’ Hits Roadblock: Bitcoin, Tesla, Dollar Fall

Published

on


The so-called ‘Trump Trade’ faces intense scrutiny as Bitcoin (BTC), Tesla (TSLA), and the US dollar all experience significant declines.

The initial enthusiasm for President Donald Trump’s pro-growth policies has faded, leading to disappointment in the financial markets.

Bitcoin, Tesla, and US Dollar Show Sharp Decline

Bitcoin, which had surged past $100,000 amid optimism for a second Trump administration, has now dropped below $85,310. Market analysis points to a lack of solid support between the $90,000 and $70,000 range, raising concerns about further declines.

BTC Price Performance
BTC Price Performance. Source: TradingView

The sharp fall comes as traders react to President Donald Trump’s lack of concrete action to ease crypto regulations despite earlier promises. Crypto analyst and influencer Crypto Rover summed up the disappointment on social media.

“Trump promised us a strategic Bitcoin reserve. He gave us a trade war instead” the analyst wrote.

Tesla, often seen as a barometer of the so-called ‘Trump Trade,’ has experienced a steep decline. Its stock, TSLA, is down nearly 40% since its peak following Trump’s election victory. The electric vehicle giant fell almost 4% on February 26 alone. This downswing extended a losing streak that has seen its stock drop 24% for the year.

Tesla TSLA Stock Performance
Tesla TSLA Stock Performance. Source: TradingView

Investors are increasingly concerned that Tesla is being sidelined by CEO Elon Musk’s focus on federal reforms. Furthermore, Musk’s polarizing political stance has hurt Tesla’s performance in Europe, where sales dropped 45% in January, despite the overall increase in electric vehicle sales in the region by 37%.

Similarly, the US dollar and Treasury yields, which had initially strengthened on expectations of Trump’s economic policies, are now in decline. Analysts cite fears that Trump’s aggressive trade policies—especially his newly announced tariffs—could lead to a resurgence of inflation while simultaneously slowing economic growth.

The Impact of Trump’s Trade War

The Kobeissi Letter, a well-known financial analysis outlet, highlighted the wide-ranging impact of Trump’s aggressive trade stance. The president recently announced sweeping tariffs, including 25% on Canada and Mexico, 25% on the European Union, 10% on China, and a potential 100% tariff on BRICS nations.

These tariffs are expected to raise the cost of goods in the US, with inflation expectations surging and analysts warning that it could double from its recent lows.

“Markets are now pricing in a rebound in inflation as prices on many goods are expected to rise,” observed The Kobeissi Letter.

Meanwhile, one of the most striking trends in financial markets is the sharp divergence between Bitcoin and gold. While gold has surged 10% recently, Bitcoin has dropped 10%, despite historically being viewed as a hedge against economic uncertainty.

Gold vs. Bitcoin Performance
Gold vs. Bitcoin Performance. Source: TradingView

Amid the market turmoil, a new study by Dancing Numbers suggests that Trump’s tariff plan could offer significant tax relief to Americans. The study found that replacing income taxes with tariffs on imports could save the average American up to $325,561 in lifetime taxes.

If Trump’s tariff plan eliminates federal income taxes, New Jersey, Connecticut, and New York residents could save $146,160, $149,535, and $136,215 over their lifetimes.

With many Americans struggling under high tax burdens, Trump’s proposal could represent a seismic shift in the country’s financial space. However, skeptics worry that relying solely on tariffs could increase inflation and create new economic challenges.

“This could shake global markets! Volatility is the new normal, and US inflation may stay high—rate cuts? Not so soon,” Jagadish, a user on X, expressed.

Investors remain wary of further volatility as markets adjust to Trump’s policies. The ‘Trump Trade’ is facing its biggest test with mounting inflation concerns and key assets faltering.

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



Source link

Bitcoin

Here Are The Bitcoin Levels To Watch For The Short Term

Published

on


Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Bitcoin has produced a range-bound movement recently, with prices oscillating between $83,000 and 86,000. Interestingly, popular crypto analyst Burak Kesmeci has identified the important price levels for any short-term action.

Support At 82,800, Resistance At 92,000 – But Where Is Bitcoin Headed?

In a new post on X, Kesmeci shared an interesting on-chain analysis of the Bitcoin market. Using the short-term investor cost basis, the analyst identified two key price levels that could prove critical to Bitcoin’s next major move.

Firstly, Burak Kesmeci focuses on the average cost prices of new traders over the past 1-4 weeks, which are likely the most reactive to price changes. The realized price for these traders currently stands at $82,800, forming a near-term support that indicates many recent buyers are still in profit and may defend this level as a psychological floor.

Meanwhile, Kesmeci also highlights the $92,000 price level, which marks the average cost basis for BTC holders for 1-3 months. This price point has emerged as an important resistance zone, as investors are likely to exit the market once they break even. Furthermore, the $92,000 price level is also marked by a confluence with various technical indicators.

Bitcoin
Source: @burak_kesmeci on X

The interplay between these two levels is significant. Historically, short-term bullish trends in BTC tend to begin when the cost basis of more recent investors, 1–4 weeks, crosses above that of the 1–3 BTC holders. This shift signals increased confidence and willingness to buy at higher levels, which often fuels broader rallies.

However, that dynamic remains to play out in the current market. As of now, Bitcoin is trading around 85,000, positioning it above its support at the 1–4 week average of $82,800 but still below the 1–3 month resistance of $92,000. Furthermore, both cost basis levels have been declining over the past two months, reflecting hesitation or a lack of aggressive buying from new entrants.

Notably, Kesmeci states that BTC must surge above $92,000 to confirm a strong bullish momentum for a price reversal.

Bitcoin ETFs Offload 1,725 BTC 

In other news, Ali Martinez reports that the Bitcoin ETFs have suffered withdrawals of 1,725 Bitcoin, valued at $146.92 million, over the past week. This development illustrates a high level of negative sentiment among institutional investors, adding to market uncertainty around the BTC market.

Meanwhile, Bitcoin trades at $85,249 following a price change of 0.89% in the past day. The premier cryptocurrency also reflects a 0.58% loss on the weekly chart and a 1.06% gain on a monthly chart.

Bitcoin
BTC trading at $85,214 on the daily chart | Source: BTCUSDT chart on Tradingview.com

Feature image from Adobe Stock, chart from Tradingview

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.



Source link

Continue Reading

Bitcoin

Bitcoin LTH Selling Pressure Hits Yearly Low — Bull Market Ready For Take Off?

Published

on


Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Following an extensive price correction in the past three months, the Bitcoin bull market continues to hang in the balance. Despite a modest price rebound in April, the premier cryptocurrency is yet to display a strong intent to resume its bull rally amidst a lack of positive market factors. However, crypto analyst Axel Adler Jr. has highlighted a promising development that could signal major upside potential for Bitcoin.

Bitcoin Long-Term Holders Looking To Halt Selling Pressure

In a recent post on X, Adler Jr. shared an important update in Bitcoin long-term holders (LTH) activity, which could prove significantly positive for the broader BTC market.

Using on-chain data from CryptoQuant, the renowned analyst reports that selling pressure by long-term holders, i.e. amount of LTH holdings on exchanges, has now hit its lowest point at 1.1% over the past year. This development indicates that Bitcoin LTH are now opting to hold on to their assets rather than take profits.

 

Bitcoin
Source: @AxelAdlerJr on X

Adler explains that a further decline in these LTH exchange holdings to 1.0% would signal the total absence of selling pressure. Notably, this development could encourage new market entry and sustained accumulation, creating a strong bullish momentum in the BTC market.

Importantly, Alder highlights that the majority of the Bitcoin LTH entered the market at an average price of $25,000, Since then, CryptoQuant has recorded the highest LTH selling pressure of 5.6% at $50,000 in early 2024 and 3.8% at $97,000 in early 2025. 

According to Adler, these two instances likely represent the primary profit-taking phases for long-term holders who intended to exit the market. Therefore, a resurgence in selling pressure from this cohort of BTC investors is unlikely in the short-term, which supports a building bullish case as long-term holders currently control 77.5% of Bitcoin in circulation.

BTC Price Overview

At the time of writing, Bitcoin was trading at $85,226 following a 0.36% gain in the past day and a 0.02% loss in the past week. Both metrics only reflect the ongoing market consolidation as BTC continues to struggle to achieve a convincing price breakout beyond $86,000.

Meanwhile, the asset’s performance on the monthly chat now reflects a 1.97% gain, indicating a potential trend reversal as the market correction ceases. Nevertheless, BTC remains in need of a strong market catalyst to ignite any sustainable price rally. With a market cap of $1.67 trillion, Bitcoin is ranked as the largest digital asset, controlling 62.9% of the crypto market.

Bitcoin
BTC trading at $85,238 on the daily chart | Source: BTCUSDT chart on Tradingview.com

Featured image from Adobe Stock, chart from Tradingview

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.



Source link

Continue Reading

Bitcoin

Analyst Says Bitcoin Price Might Be Gearing Up For Next Big Move — What To Know

Published

on


Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

The Bitcoin price seems stuck in a consolidation range, ricocheting off the $83,000 and $86,000 levels over the past week. With no clear direction for the premier cryptocurrency, investors are left wondering what phase the market cycle is in—bullish or bearish.

According to a popular crypto analyst on the social media platform X, the Bitcoin price could be preparing for its next big move in either direction over the next few weeks. In any case, here are the important levels to watch out for in the next few days.

Crucial Levels To Watch For BTC’s Next Move

In an April 19 post on the X platform, crypto analyst Ali Martinez shared an interesting analysis of the Bitcoin price while highlighting the current layout of the world’s largest cryptocurrency by market cap. The online pundit noted that BTC bears and bulls are locked in a battle, leading to a choppy market condition.

Notably, the premier cryptocurrency appears to have entered the $83,000 – $86,000 range on Saturday, April 12. Hence, Martinez’s analysis basically revolves around the price of BTC bouncing off the support and resistance levels on its one-hour timeframe.

Bitcoin price

Source: @ali_charts on X

As shown in the chart above, the Bitcoin price attempted multiple times to breach the resistance zone around the $86,000 region over the past week. However, the bulls’ optimism was met with the staunch resilience of the Bitcoin bears, as the price of BTC almost always found its way back toward the $83,000 mark.

Most recently, the flagship cryptocurrency made its way toward the $86,000 level on Wednesday, April 16, but failed to break the significant resistance zone after the US Federal Reserve (Fed) chair Jerome Powell suggested that interest rate cuts might not be coming as early as anticipated by crypto traders.

Martinez noted in his post that the next significant move for the Bitcoin price depends primarily on the $83,000 and $86,000 levels. According to the crypto pundit, a breakout above the $86,000 mark could spell the start of a bullish run for Bitcoin, while a break below $83,000 could mean further correction for the market leader.

Bitcoin Price Overview

After reaching its all-time high of $108,786 in January 2025, the price of BTC has been on a steady decline in the past few months. According to data from CoinGecko, the flagship cryptocurrency has losst more than 22% of its value since hitting its record-high price.

As of this writing, the price of Bitcoin stands at around $84,530, reflecting a 0.3% decline in the past 24 hours. Meanwhile, the Bitcoin price is up by more than 1% on the weekly timeframe.

Bitcoin price

The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView

Featured image from iStock, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.



Source link

Continue Reading

Trending

Copyright © 2024 coin2049.io