Bitcoin price could rally even as global trade war rages on — Here is why
The post Bitcoin price could rally even as global trade war rages on — Here is why appeared on BitcoinEthereumNews.com.
Crypto and equities traders were hopeful for a last-minute solution that would prevent the US from enacting 104% tariffs on Chinese goods entering the United States, but in a press conference, the White House confirmed that the tariffs would start on April 9. Markets deteriorated when Peter Navarro, trade adviser to US President Donald Trump, stated that tariffs were “not a negotiation.” As a result, the S&P 500 index closed on April 8 with a 1.6% loss, reversing earlier gains of 4%. This downturn has left traders wondering whether Bitcoin (BTC) can regain its bullish momentum amid worsening macroeconomic conditions. Spiraling US debt issues remain, paving the way for Bitcoin gains Between April 2 and April 7, the S&P 500 index dropped by 14.7%, causing panic among Bitcoin holders and forcing a retest of the $75,000 level—the lowest in more than five months. S&P 500 futures (left) vs. Bitcoin/USD (right). Source: TradingView / Cointelegraph During an appearance with Israeli Prime Minister Benjamin Netanyahu on April 7, President Trump reportedly said his goal was to “reset the table” on trade. He added that “there can be permanent tariffs, and there could also be negotiations because there are things that we need beyond tariffs.” Amid this uncertainty, IPOs and mergers have been delayed, while leveraged loan deals and bond sales were sidelined, according to Yahoo Finance. It becomes clear that the stock market is likely to rally if trade war risks subside. Economists have cautioned that tariffs could trigger inflation and significantly raise the chances of an economic recession, according to Reuters. However, assessing the impact on Bitcoin’s price remains a challenging task. This is because some investors see the cryptocurrency’s fixed monetary system as a safeguard against the continuous expansion of global fiat currency supplies. Short-term correlations hurt BTC, but possible…
Filed under: News - @ April 9, 2025 4:26 pm