Cryptographic markets will be exerted on pressure by trade wars until April: Analyst

Published on:

Global concerns about the trade war will exert pressure on both cryptocurrency and classic markets until at least early April, but another huge market catalyst can bring a potential solution.

Bitcoin’s (Btc) The price has fallen by 17%since US President Donald Trump for the first time announced import features for Chinese goods on January 20, on the first day after the presidential inauguration.

Despite many positive events related to the crypto-spectacular, global tariff fears will continue to put pressure on markets until at least April 2, according to Nicolai Sondergaard, analytics of research in Nansen.

BTC/USD, 1-day chart. Source: Cointelegraph/TradingView

The analyst said at Cointelegraph Chain function every day x Show March 21:

“I can’t wait to see what will happen to the tariffs from April 2, maybe we’ll see that some of them will fall, but it depends whether all countries can agree. He is the largest driver at the moment.”

Risk assets may not have a direction until the tariff problems are solved, which may occur between April 2 and July, presenting a positive market catalyst, added the analyst.

President Trump’s mutual tariff rates take place on April 2, despite the previous comments of the Secretary of the Treasury Scott Bessent, which indicated a possible delay in their activation.

Related: Ether risk correction up to 1.8 thousand USD as ETF drains, tariff fears are ongoing

FED interest rates also contribute to the decline of the market

High interest rates will also continue pressure on risk appetite among investors, until the federal reserve ultimately begins to lower the rates, Sondergaard explained, adding:

“We wait for the Fed to see the right” bad news “before they really begin to lower the rates.”

Target feeding of interest rates. Source: CME group fedwatch tool

Markets are currently valued in an 85% chance that the FED will maintain interest rates during the next Federal Open Committee meeting (FOMC) on May 7, in accordance with the latest Fedwatch estimates of the CME Group Group Group tool.

Related: Cryptographic debting was not over January 2026: Caitlin Long

Despite this, the Federal Reserve indicates that the concerns related to inflation and recession are short-lived, especially in relation to tariffs, which can be a positive sign for investors, according to Iliiy Kalchev, shipping analyst from the Nexo Digital Asset Investment Platform.

“Markets can now expect upcoming economic data with more trust,” said the Cointelegraph analyst, adding:

“Cooling inflation and stable economic conditions can further increase investors’ appetite, increasing the additional advantage for bitcoin and digital assets.”

“Keep an eye on key reports, including consumer trust, GDP, unemployment claims and a key issue of PCE inflation next week to assess the likelihood of future foot reductions,” added the analyst.

https://www.youtube.com/watch?v=GNUNX0QWH3Q

Warehouse: Referring Sec at cryptography leaves key questions unanswered

Related

Leave a Reply

Please enter your comment!
Please enter your name here