The post Bitcoin Plunges Below $80,000 Amid Rising US Recession Fears appeared on BitcoinEthereumNews.com.

Bitcoin (BTC) and the broader crypto market are facing mounting pressure as recession fears escalate following comments from US President Donald Trump. His recent remarks on Fox News about the possibility of an economic downturn have rattled investors, triggering a sharp sell-off across risk assets, including Bitcoin. Bitcoin Drops As Recession Fears Trigger Panic Selling In a March 10 interview, Fox News asked President Trump about the likelihood of a recession. While he avoided making a definitive prediction, Trump acknowledged that “disruption” was inevitable as the country rebuilds its economic foundation. Trump Does Not Rule Out A Recession in 2025 His comments signaled a shift in sentiment, suggesting that the US economy could face short-term challenges before achieving long-term stability. Trump’s stance appeared to suggest a willingness to weather a recession if it meant implementing necessary economic reforms. “So, why did the decline accelerate today? We think markets are reacting to President Trump’s willingness to weather an economic downturn to “fix” issues the US faces,” The Kobeissi Letter observed. While potentially beneficial in the long run, this perspective has heightened near-term anxieties, especially among Wall Street investors and cryptocurrency traders. BTC Price Performance. Source: BeInCrypto In the immediate aftermath, Bitcoin prices dropped below the psychological level of $80,000. As of this writing, BTC was trading for $79,856, down by almost 3% since Tuesday’s session opened. Notably, Trump’s allusion aligns with recent remarks from the Federal Reserve, which warned about the possibility of a recession, further intensifying market jitters. The Fed’s cautious tone has fueled bearish sentiment across cryptocurrencies. A potential economic slowdown could lead to lower interest rates to stimulate growth. However, investors appear to be preparing for more pain ahead in the short term. Bitcoin and Stocks’ Correlation with Economic Anxiety Like Bitcoin, the traditional financial markets responded swiftly.…

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Filed under: News - @ March 11, 2025 6:16 am