Bitcoin’s Path to $200,000: Key Breakout Needed Amid Global Trade Tensions
Bitcoin (BTC) has shown resilience following geopolitical developments, with analysts eyeing a potential surge to $200,000 if critical resistance levels are breached. Here’s a breakdown of the factors influencing this bullish outlook.
Bitcoin (BTC) Still on Track for $200,000 But This Must Happen First (Analyst)
Bitcoin (BTC) bounced after Trump’s tariff freeze, triggering predictions of a major rally to new highs. One popular analyst thinks a breakout above a key level could lead to a massive pump above $200K. The primary cryptocurrency did not start the business week on the right foot, experiencing a major pullback below $75,000 after the trade war between the USA and the rest of the world intensified with the implementation of additional tariffs. However, on April 9, US President Donald Trump enacted a 90-day freeze on most new tariffs. The reciprocal rate was reduced to 10% for over 75 countries that have recently sought to renegotiate better terms with America. In the aftermath, Bitcoin soared past $83,000 before slightly retracing to the current $81,800 (per CoinGecko’s data). Tagged coins: BTC.
Tariffs, Trade Tensions May Boost Bitcoin Adoption in Medium Term: Grayscale
Tariffs and trade tensions could ultimately be positive for Bitcoin (BTC) adoption in the medium term, according to asset manager Grayscale. Higher tariffs can lead to stagflation, which is negative for traditional assets but positive for scarce commodities such as gold and Bitcoin. Grayscale noted that Bitcoin is considered hard money, akin to digital gold, and is viewed as a modern store of value. The U.S. dollar’s role as the world’s single reserve currency may also be challenged, allowing room for new reserve assets.
Bitcoin Remains Flat After US CPI Report Shows Inflation Cooled in March
The April 10 CPI data came in lower than expected, with analysts predicting March inflation at 2.5%. The Consumer Price Index (CPI), a critical economic indicator, tracks the average change in prices paid by consumers for goods and services. The lower-than-expected CPI figures could give Bitcoin a boost. At press time, Bitcoin (BTC) was trading at $81,800, up over 7% on the 24-hour chart. CPI data releases by the Bureau of Labor Statistics have become key market-moving events, especially for Bitcoin and other cryptocurrencies. Bitcoin is sensitive to macroeconomic indicators like CPI as they influence the Federal Reserve’s monetary policy decisions.
Bitcoin Jumps Only 6% After Tariffs Pause: Rally Losing Steam?
Bitcoin experiences a modest 6% increase despite a tariffs pause. The DMI shows buyers are in control, but the overall trend is weakening. The EMA structure hasn’t confirmed a full reversal, suggesting potential for further gains or a pullback. The ADX has dropped to 19.48, indicating a reduced trend intensity and possible market consolidation.
Bitcoin Price Reacts to Lower-than-Expected US CPI for March
The highly anticipated US Consumer Price Index (CPI) numbers for March have been released, showing lower inflation rates than expected. Headline CPI came in at 2.4% YoY (vs. est. 2.5%) and CORE CPI at 2.8% YoY (vs. est. 3.0%), marking the lowest CORE inflation in four years. Although lower inflation is typically considered bullish for crypto due to the potential reduction of key interest rates by the Fed, Bitcoin (BTC) reacted with an immediate pump and dump to $81,500.
Crypto Analyst Doctor Profit Releases New Bitcoin Forecast
A crypto analyst known as Doctor Profit, who accurately predicted Bitcoin’s price crash from $97,000, has released a new technical outlook. The analyst warns that the market dump is not complete and dissuades a bullish trajectory in the short term. Doctor Profit’s previous analysis has been accurate in highlighting various Bitcoin price movements.
