Bitcoin Reclaims $85,000 Ahead Of Trump Tariff Announcement

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Bitcoin Reclaims $85,000 Ahead Of Trump Tariff Announcement

, Benzinga - 10:27 AM ET 4/2/2025 default

Bitcoin (CRYPTO: BTC) is up to $85,500 as market observers and analysts debate the impact of Wednesday’s tariff announcements.

What Happened: In his latest podcast, prominent crypto trader Mayne pointed out that Bitcoin's next major move hinges on how equities react to the news.

Trump's recent aggressive stance on tariffs has fueled speculation about potential market disruptions and whether the announcement is priced in or could prompt another sell-off.

Mayne views tariffs as a negotiation tool for Trump—not just for trade deals but also to pressure the Federal Reserve into cutting interest rates.

A shift toward quantitative easing could be a bullish scenario for crypto in the long run.

Also Read: Bitcoin Is In A Mini Bear Market, Says 10x Research

Why It Matters: Crypto analyst Miles Deutscher warns that the upcoming reciprocal tariffs on Wednesday could have broader economic implications.

The key uncertainties include the size of the tariffs, the most affected countries and potential retaliations leading to a larger trade war.

The market reaction will hinge on the size of the announced tariffs and any deviations from expectations.

Sector-specific impacts (e.g., tech, consumer goods) should be monitored, and while some de-risking has likely already occurred, volatility is expected.

Traders should be cautious with leverage, as technical setups may be prone to fakeouts.

What's Next: Mayne has identified two key price levels that could determine Bitcoin's next trend.

Above $93,500 → Could signal a strong Q2 & Q3 rally.
$70,000 – $65,000 → A potential buy zone if prices dip.

For now, Mayne urges caution, advising traders to sit on their hands rather than chase trades driven by news-based volatility.

If equities react negatively and the Fed maintains higher rates, he warns that Bitcoin's bottom may not be in yet.

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