Bitcoin Price Plummets Amid Trade War Concerns

Key Points:

• Bitcoin price fell to lows of $82,131, dipping to levels seen in November 2024.
• The BTC sell-off happens after Trump’s latest tariffs announcement, including a 25% tariffs on the EU.
• Equities also dumped, with the S&P 500 seeing $500 billion wiped off.

The price of Bitcoin dropped more than 6% in 24 hours to break below $84,000 on Wednesday.

Bitcoin price has touched its lowest levels since November 2024, indicating bearish market sentiment.

BTC sold-off as the crypto market reacted to trade war sentiment following President Trump’s tariff announcements.

Bitcoin Dips Amid ETFs Outflows

Bitcoin crashed below $84,000 as equities reacted to potential trade war implications. The price hit lows of $82,131.

ETFs also contributed to the selling pressure on BTC, with major issuers such as Fidelity, Ark, and Grayscale selling off assets.

FIDELITY SOLD
ARK SOLD
GRAYSCALE SOLD

BUT BLACKROCK… ALSO SOLD $150M

Sentiment remains weak as bulls try to rebound above $84k, with a possible retest of $80k looming according to analysts.

Bitcoin is getting closer and closer to filling its CME Gap formed back in November 2024.

The CME Gap is located between $78,000 and ~$80,700

Analysts suggest that markets are anticipating a rebound in inflation, with investors preparing for potential spikes in prices of goods.

The divergence between Gold and Bitcoin during the trade war is notable, with Gold up +10% and Bitcoin down -10% despite its historical hedge reputation.