Bitcoin Remains Steady Amid U.S. Tariff-Induced Market Turbulence
U.S. tariffs will increase significantly starting April 5, with a baseline of 10% on all imports and higher rates for around 60 countries from April 9. Key points include:
- China faces a total tariff of 54% due to the new 34% added to existing tariffs.
- The European Union will incur a 20% tariff.
- The U.S. aims to address trade imbalances and support domestic manufacturing.
Market reactions show global stocks under pressure, with notable declines including:
- Nikkei 225 down 2.8%
- FTSE 100 down over 1%
- Nasdaq futures down over 3.5%
The U.S. dollar weakened, while Bitcoin (BTC) held above $83,000, below its critical moving average of $86,400. The U.S. 10-year Treasury yield is at 4%, the lowest since October.
Upcoming Events
- April 5: Satoshi Nakamoto's purported birthday.
- April 9: U.S. House Financial Services Committee hearing on digital asset laws.
- April 3: U.S. unemployment data release.
In token governance, Yearn DAO is proposing funding for a new sub-DAO, and Lido DAO is discussing re-endorsement of wstETH on Starknet. Significant unlocks are occurring across various tokens, impacting liquidity in the market.
Market Movements
- BTC down 2.17% to $83,799.17
- ETH down 1.93% to $1,844.66
- CoinDesk 20 index down 0.56%
Crypto equities saw mixed performance, with MSTR and Coinbase showing gains but declining pre-market values reported. ETF flows indicate a positive net flow for BTC ETFs but a negative trend for ETH ETFs.
Traders anticipate increased recession odds following the tariff announcement, which could affect risk assets negatively. The overall sentiment remains cautious as the market adapts to the evolving economic landscape.