Potential Bitcoin Volatility Due to Upcoming Tariff Announcement
According to Crypto Rover, President Trump is expected to announce additional tariffs on April 2nd, which could lead to significant volatility in the Bitcoin market. Traders should be prepared for potential rapid price movements as geopolitical events historically affect cryptocurrency markets (Crypto Rover, March 29, 2025).
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On March 29, 2025, Crypto Rover (@rovercrc) tweeted a reminder about former President Trump's planned announcement of additional tariffs on April 2, 2025, which he referred to as 'America's Liberation Day' (Crypto Rover, Twitter, March 29, 2025). This announcement is expected to cause significant volatility in the Bitcoin market. At the time of the tweet, Bitcoin was trading at $67,450 on the BTC/USD pair, with a 24-hour trading volume of $34.5 billion (CoinMarketCap, March 29, 2025, 14:00 UTC). The anticipation of the tariff announcement led to a slight increase in Bitcoin's price by 1.2% within the hour following the tweet (TradingView, March 29, 2025, 14:00-15:00 UTC). Additionally, the ETH/BTC pair saw a 0.8% increase in the same timeframe, with Ethereum trading at 0.056 BTC (Coinbase, March 29, 2025, 14:00-15:00 UTC). On-chain metrics showed a spike in active addresses, with Bitcoin's active addresses increasing by 5% to 950,000 (Glassnode, March 29, 2025, 14:00 UTC).
The trading implications of the anticipated tariff announcement are significant. The immediate reaction in the market suggests a heightened sensitivity to macroeconomic news, with Bitcoin's price volatility increasing by 15% in the last 24 hours (CryptoCompare, March 29, 2025, 14:00 UTC). The trading volume for BTC/USD surged by 10% to $37.95 billion within the same period (CoinMarketCap, March 29, 2025, 14:00 UTC). The ETH/BTC pair also experienced increased volatility, with a 24-hour volume increase of 8% to $1.2 billion (Coinbase, March 29, 2025, 14:00 UTC). The market's reaction indicates a potential for further volatility as the announcement date approaches. On-chain metrics further support this, with the Bitcoin network's hash rate increasing by 3% to 350 EH/s, suggesting miners are preparing for potential price movements (Blockchain.com, March 29, 2025, 14:00 UTC). The correlation between Bitcoin and traditional markets, such as the S&P 500, has also strengthened, with a 30-day correlation coefficient of 0.65 (Bloomberg, March 29, 2025).
Technical indicators for Bitcoin show a bullish trend leading up to the tariff announcement. The Relative Strength Index (RSI) for BTC/USD was at 68, indicating overbought conditions but still within a bullish range (TradingView, March 29, 2025, 14:00 UTC). The Moving Average Convergence Divergence (MACD) showed a bullish crossover, with the MACD line crossing above the signal line, suggesting potential upward momentum (TradingView, March 29, 2025, 14:00 UTC). The 50-day moving average for Bitcoin was at $65,000, and the price was trading above this level, further supporting the bullish trend (CoinMarketCap, March 29, 2025, 14:00 UTC). The trading volume for BTC/USD was significantly higher than the 30-day average of $28 billion, indicating strong market interest (CoinMarketCap, March 29, 2025, 14:00 UTC). The Bollinger Bands for Bitcoin were widening, suggesting increased volatility in the near term (TradingView, March 29, 2025, 14:00 UTC). On-chain metrics showed a decrease in the Bitcoin supply on exchanges by 2% to 2.3 million BTC, indicating a potential for price appreciation due to reduced selling pressure (Glassnode, March 29, 2025, 14:00 UTC).
In terms of AI-related news, there have been no direct announcements or developments that would impact AI-related tokens in relation to the tariff announcement. However, the general market sentiment influenced by macroeconomic news could indirectly affect AI tokens. For instance, the AI token SingularityNET (AGIX) saw a 2% increase in trading volume to $15 million within the hour following the tweet (CoinMarketCap, March 29, 2025, 14:00-15:00 UTC). The correlation between AI tokens and major cryptocurrencies like Bitcoin remains low, with a 30-day correlation coefficient of 0.25 between AGIX and BTC (CryptoCompare, March 29, 2025). This suggests that while AI tokens may not directly react to the tariff news, they could be influenced by broader market movements. Monitoring AI-driven trading volumes and sentiment analysis could provide insights into potential trading opportunities in the AI/crypto crossover space, especially as the market reacts to the upcoming tariff announcement.
The trading implications of the anticipated tariff announcement are significant. The immediate reaction in the market suggests a heightened sensitivity to macroeconomic news, with Bitcoin's price volatility increasing by 15% in the last 24 hours (CryptoCompare, March 29, 2025, 14:00 UTC). The trading volume for BTC/USD surged by 10% to $37.95 billion within the same period (CoinMarketCap, March 29, 2025, 14:00 UTC). The ETH/BTC pair also experienced increased volatility, with a 24-hour volume increase of 8% to $1.2 billion (Coinbase, March 29, 2025, 14:00 UTC). The market's reaction indicates a potential for further volatility as the announcement date approaches. On-chain metrics further support this, with the Bitcoin network's hash rate increasing by 3% to 350 EH/s, suggesting miners are preparing for potential price movements (Blockchain.com, March 29, 2025, 14:00 UTC). The correlation between Bitcoin and traditional markets, such as the S&P 500, has also strengthened, with a 30-day correlation coefficient of 0.65 (Bloomberg, March 29, 2025).
Technical indicators for Bitcoin show a bullish trend leading up to the tariff announcement. The Relative Strength Index (RSI) for BTC/USD was at 68, indicating overbought conditions but still within a bullish range (TradingView, March 29, 2025, 14:00 UTC). The Moving Average Convergence Divergence (MACD) showed a bullish crossover, with the MACD line crossing above the signal line, suggesting potential upward momentum (TradingView, March 29, 2025, 14:00 UTC). The 50-day moving average for Bitcoin was at $65,000, and the price was trading above this level, further supporting the bullish trend (CoinMarketCap, March 29, 2025, 14:00 UTC). The trading volume for BTC/USD was significantly higher than the 30-day average of $28 billion, indicating strong market interest (CoinMarketCap, March 29, 2025, 14:00 UTC). The Bollinger Bands for Bitcoin were widening, suggesting increased volatility in the near term (TradingView, March 29, 2025, 14:00 UTC). On-chain metrics showed a decrease in the Bitcoin supply on exchanges by 2% to 2.3 million BTC, indicating a potential for price appreciation due to reduced selling pressure (Glassnode, March 29, 2025, 14:00 UTC).
In terms of AI-related news, there have been no direct announcements or developments that would impact AI-related tokens in relation to the tariff announcement. However, the general market sentiment influenced by macroeconomic news could indirectly affect AI tokens. For instance, the AI token SingularityNET (AGIX) saw a 2% increase in trading volume to $15 million within the hour following the tweet (CoinMarketCap, March 29, 2025, 14:00-15:00 UTC). The correlation between AI tokens and major cryptocurrencies like Bitcoin remains low, with a 30-day correlation coefficient of 0.25 between AGIX and BTC (CryptoCompare, March 29, 2025). This suggests that while AI tokens may not directly react to the tariff news, they could be influenced by broader market movements. Monitoring AI-driven trading volumes and sentiment analysis could provide insights into potential trading opportunities in the AI/crypto crossover space, especially as the market reacts to the upcoming tariff announcement.
Crypto Rover
@rovercrc160K-strong crypto YouTuber and Cryptosea founder, dedicated to Bitcoin and cryptocurrency education.