The cryptocurrency hovered around $83,000 this morning in the face of Canadian and European retaliatory tariffs against U.S. import fees on steel and aluminum.
Bitcoin Struggles as Global Trade Tensions Rise
Bitcoin (BTC) has remained mostly flat over the past 24 hours, as global economic concerns, sparked by President Donald Trump’s tariffs, weighed on investor sentiment. The leading digital asset is currently priced at $82,692.45, reflecting a 1.30% drop over the past day and an 8.58% decline over the past week.
Market Metrics
- 24-hour price range: $80,635.25 to $84,301.69
- Market capitalization: $1.64 trillion, down 0.84% since yesterday
- 24-hour trading volume: $33.89 billion, down 27.03%
- BTC dominance: 61.82%, down 0.47% in the past 24 hours
- BTC futures open interest: $47.32 billion, down 0.33%
- 24-hour liquidations: $83.64 million, with longs at $49.63 million and shorts at $34.02 million. The relatively equal ratio of longs and shorts suggests a somewhat balanced distribution of bears and bulls.
Market Drivers
Global trade woes intensified on Wednesday as Canada and the European Union slapped on retaliatory tariffs on U.S. exports to the tune of billions in response to President Donald Trump’s fees on steel and aluminum imports. Fears of a global recession have become heightened, although U.S. inflation data that came in yesterday was more favorable than expected. A recessionary environment will likely impact bitcoin’s price negatively.
Bitcoin Price Outlook
Despite the current downturn, analysts remain divided on bitcoin’s trajectory. Some believe that economic uncertainty could drive more investors toward BTC as a hedge against inflation, while others caution that risk-off sentiment may lead to further declines in the near term.
For now, bitcoin’s ability to hold key support levels near $80,000 will be crucial in determining its next move. If global economic instability persists, further volatility in the crypto market should be expected.