Bitcoin’s Uphill Battle Near $90K: A Story of Tariffs and ETF Jitters
Bitcoin, the world’s biggest cryptocurrency, has been having a tough time lately, trying to stay above the $90,000 mark. It’s not just about the ups and downs of the market; it’s also about what’s happening in the wider economy, especially how U.S. tariffs and Bitcoin ETFs are affecting things.
Bitcoin’s Rocky Road
Bitcoin’s journey recently has been full of ups and downs. It briefly went above $90,000, but then it came back down because of worries about the global economy, like when the U.S. said it would put tariffs on some things[1][3]. The cryptocurrency market is very sensitive to what’s happening in the global economy, and the fear of tariffs has been making the market go up and down a lot.
How Tariffs Affect Bitcoin
When the U.S. says it’s going to put tariffs on things, like it did with Canada and Mexico, it makes waves in the financial world. These tariffs not only affect traditional things you invest in, but they also affect the cryptocurrency world by changing how people feel about investing. When people worry about the economy, they often want to put their money in safer places, which can mean they don’t invest in riskier things like Bitcoin[3][5].
Bitcoin ETFs and Price Fluctuations
Another big thing affecting Bitcoin’s price is what’s happening with Bitcoin exchange-traded funds (ETFs). Lots of big investors have been pulling their money out of these funds because of the worries about the global economy and because they want to be more careful[3][5]. When big investors do this, it makes it harder for Bitcoin to stay above $90,000.
What Technical Analysis and Market Sentiment Tell Us
From a technical point of view, Bitcoin has been strong because it’s been staying above a certain line that shows how it’s done on average over the past 200 days. This is often a good sign[4]. But the market is still very up and down, and what happens is affected by both technical things and what’s happening in the wider economy. Sometimes, the Relative Strength Index (RSI) shows that there’s a lot of buying happening, but it also warns that the price might go down again[2].
Looking Ahead: What Experts Think
Even though Bitcoin is having a tough time right now, many experts think it will do well in the long run. They think that by late 2025, Bitcoin could be worth between $160,000 and over $180,000[3]. But these guesses depend on the economy getting better and people feeling more confident about investing again.
Navigating Uncertainty: What’s Next for Bitcoin?
In short, Bitcoin’s struggle to stay above $90,000 is because of bigger economic worries and big investors being careful. As the world economy changes, Bitcoin’s future will depend on how well it can deal with these challenges and make people feel more confident about investing in it again. Whether Bitcoin can keep going up or if it will go down again remains to be seen, but one thing is clear: the next few weeks will be very important in deciding what happens next.
—
Sources:
– crypto.news
– coinfomania.com
– cointelegraph.com
– thecryptobasic.com
– advfn.com