31 March 2025
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Bitcoin Traders Brace for Major Tariffs and Whale Activity This Week
Bitcoin traders are preparing for a volatile week influenced by key factors:
#1 US Tariffs Set to Rise on April 2
- The US administration plans “reciprocal tariffs” effective April 2, escalating international trade tensions.
- Tariffs include 25% levies on auto imports and oil purchases from Venezuela.
- Retaliatory measures from Canada, China, the EU, and Mexico may follow, increasing market uncertainty.
- Inflation pressure could rise due to higher consumer costs on imports.
- Policy uncertainty is significantly elevated compared to past crises, leading to anticipated market volatility.
#2 Bitcoin Whale Activity
- Large liquidity movements in Bitcoin hint at a potential whale strategy linked to an entity known as “Spoofy the Whale.”
- This whale appears to be buying dips and has bids positioned down to $78k.
- Upcoming events may catalyze price swings, with implications for BTC's near-term prospects.
#3 Technical Analysis: Bearish Flag Breakdown
- A bearish flag pattern breakdown raises concerns about support levels around $81K.
- If BTC falls below this level, a target range of $70K–$73K may be reached.
- Contrarian sentiment suggests a possible market reversal despite negative outlooks surrounding April 2.
#4 Accumulation by Seasoned Investors
- Experienced players are entering a new accumulation phase, as indicated by low selling activity.
- Historical data correlates low Value Days Destroyed (VDD) periods with potential price increases.
- Current market conditions suggest confidence among long-term investors, despite macroeconomic uncertainties.
#5 CME Gap Considerations
- The recent filling of a CME gap between $82,000 and $85,000 is noteworthy.
- A new CME gap formation over the weekend may lead to a price move towards $84k next week.
- CME gaps often influence Bitcoin's price action, depending on broader market trends.
Currently, BTC is trading at $82,010.