Trump’s announcement of new tariffs on April 2nd didn’t help matters. The market went into full panic mode, establishing a bearish channel with stubborn resistance at $87,000 and $92,000. Not even Trump’s typical market-pumping tweets could save the day, though a brief 3.2% uptick on April 30th gave hodlers a moment of false hope.
The former president’s calls for Federal Reserve rate cuts and a weaker dollar policy sent mixed signals through the crypto sphere. Sure, a weaker dollar typically means stronger Bitcoin – but nothing’s typical anymore. The 90-day delay on reciprocal trade duties announced on April 9th barely registered as a blip on the radar. Meanwhile, large Bitcoin holders continued accumulating tokens during the price slumps, suggesting long-term confidence despite the market turmoil. Network effects contributed significantly to the market’s resilience, as user adoption remained steady despite price volatility.
Markets hate uncertainty, and Trump was serving it up by the bucketload. The carnage hit newly minted crypto millionaires particularly hard. On-chain data showed major outflows from large wallets, as paper wealth evaporated faster than a puddle in the Mojave.
Crypto fortunes vanished overnight as market uncertainty triggered a massive exodus of whale holdings, turning millionaires into memories.
Short-term holders and market newcomers got the worst of it, learning the hard way that crypto wealth can disappear as quickly as it appears. Despite the bloodbath, some die-hard analysts kept their rose-colored glasses firmly in place, maintaining ambitious year-end price targets of $200,000.
Technical analysts pointed to those pesky resistance levels at $87,000 and $92,000, while market experts remained split on whether Trump’s policies would ultimately help or hurt Bitcoin’s future. One thing’s for certain: the market’s about as stable as a caffeinated squirrel, with every presidential tweet and policy shift sending prices on a roller coaster ride that would make Six Flags jealous.
