TLDR
- Following a turbulent first quarter that witnessed an 11% decline, Bitcoin experienced a modest rise, hitting $83,210, yet it remains nearly a quarter less than its peak in January.
- Anticipation surrounds the impending tariffs by Trump expected on April 2, fueling uncertainty in the market.
- Bitcoin might still be in the 'acceleration phase,' predicts Fidelity's Zack Wainwright, indicating potential for significant volatility and profit.
- Key players in the industry, including Michael Saylor's Strategy and MARA Holdings, persist in buying Bitcoin, undeterred by its price fluctuations.
- Analytical data presents divided opinions with some experts cautioning about the likelihood of a persistent bearish trend in the short term.
On April 1, Bitcoin touched the $83,210 mark, inching upwards as it begins to climb back after a tough first quarter characterized by an 11% dip and a 24% drop from its highest point in January.
The recent uptick of 1.3% follows a phase of profound apprehension linked to the looming trade tariffs by Trump aimed at critical U.S. trading nations.
Terming April 2 as 'liberation day,' Trump intends to publicize more tariff specifics targeting industries such as semiconductors, pharmaceuticals, and selected commodities.
Bitcoin's price trends are reflecting larger financial market sentiments, with investor nerves strained due to the speculative nature and potential repercussions of these tariffs.
Market Analysis
Growing concerns over a U.S. recession have had a detrimental effect on speculative investments like Bitcoin, which is falling behind the S&P 500 and NASDAQ in 2025.
The Trump era has been characterized by a pro-crypto stance with supportive candidates chosen for influential regulatory roles, notably within the Securities and Exchange Commission.
In a notable move, Eric Trump and Donald Trump Jr. are slated to merge with and hold a 20% stake in American Bitcoin, largely owned by Hut 8, a mining company.
This transaction joins an array of crypto enterprises championed by Trump, among them is World Liberty Financial, a decentralized finance initiative, and the memecoin $TRUMP.
Despite setting multiple crypto initiatives in motion, Trump's policies have failed to considerably lift Bitcoin prices. Attempts like creating a strategic reserve using governmental Bitcoin stocks did not bolster the market.
Fidelity's analyst, Zack Wainwright, suggests Bitcoin might still be navigating an 'acceleration phase,' reminiscent of its surge beyond $20,000 in late 2020—marked by fluctuations and possible profits.
Day 232 marked the present cycle's journey, matching earlier cycles where peak timelines briefly extended—day 244 in 2010-2011, day 261 in 2015, and day 280 in 2017.
Even with volatile prices, significant investors are persistently accumulating Bitcoin. Michael Saylor, CEO of Strategy, revealed the purchase of 22,048 BTC at an average price of $86,969 each, totaling $1.92 billion on March 31.
On the same day, Bitcoin Mining company MARA announced their strategic move to release up to $2 billion in stocks, intending to acquire more Bitcoin, while Japan's Metaplanet issued bonds worth $13.3 million to do the same.
Indicators are painting a mixed picture regarding Bitcoin's immediate prospects, with some experts foreseeing a sustained downward trajectory. Bitcoin Trader Roman observed while Bitcoin retested the $84,000 level, there was a risk implied by the relative strength index’s suggestion of a downward swing.
Analyst Rekt Capital highlighted a support retest visible on daily charts, following Bitcoin’s breakthrough from a prolonged relative strength index (RSI) downtrend.
The $BTC The RSI is attempting to reassess its former downtrend as a support level.
Simultaneously, Bitcoin’s price trajectory is grappling with its own downtrend challenges.
In case the RSI manages a successful downtrend retest, it may signal budding strength allowing the price to overcome its decline.
Forecasts speculate a possible downward extension to $65,000. Bitfinex clarified in a recent report that 2025 has been Bitcoin's least favorable first quarter in a considerable period, facing buying limits at $89,000. #Crypto #Bitcoin https://t.co/btIyeARrck pic.twitter.com/ji1dNJNolP
— Rekt Capital (@rektcapital) March 31, 2025
Bitfinex analysts reported that Bitcoin’s patterns in recent weeks have firmed a consolidation band between $78,000 and $88,000, noticing a reduction in signs of capitulation and an upturn in long-term holding behaviors.
The crypto sector remains on alert, carefully observing the unfolding of trade policy developments. April 2 is anticipated to shed light on Trump's tariffs' probable effects on risky assets like Bitcoin.
Maisie, a seasoned writer on Crypto & Financial news, has been contributing to publications such as Moneycheck.com, level-up-casino-app.com, and Computing.net, and serves as Editor in Chief at Blockfresh.com.
