
Tariff Fears Taint Risk Assets
Investor morale is poor as US President Donald Trump is to announce new tariffs on imports on April 2, fueling global trade war concerns again. Markets have already factored that in, with Bitcoin falling by 18% and the S&P 500 off over 7% since Trump first spoke of tariffs on Jan. 20, according to TradingView.
“April 2 is increasingly on the radar as a possible hot point for new US tariff decisions,” stated Nexo dispatch editor Stella Zlatareva. Analysts are cautioning that further tensions have the ability to dampen investor demand for risk, including cryptocurrencies.
Trump Seeks Tougher Measures
On March 29, Trump reportedly urged senior advisers to adopt a harder tariff stance, targeting key US trading partners to reduce the $1.2 trillion trade deficit and support domestic industries. The Washington Post broke the news, quoting four sources familiar with the situation.
The forthcoming announcement can potentially be a critical turning point for macroeconomic sentiment and propel Bitcoin’s price action throughout April.
Whales and ETFs Show Divergent Indicators
Despite growing volatility, Bitcoin “whales” — addresses containing between 1,000 and 10,000 BTC — continued to accumulate. Glassnode data showed the number of such addresses rose moderately from 1,956 on Jan. 1 to over 1,990 by March 27.
“Risk appetite remains muted in front of tariff threats and macro uncertainty,” said Nexo analyst Iliya Kalchev. “But BTC whale accumulation and a 10-day ETF inflow trend show steady institutional appetite.”
That streak was snapped on March 28 when Fidelity’s Bitcoin ETF saw $93 million worth of outflows, while others saw flat flows, Farside Investors report.
Analysts Remain Bullish Long-Term
Short-term negatives may persist, but analysts remain bullish long-term on the prospects of Bitcoin. Forecasts for late 2025 dictate price targets in the range of $160,000 to $180,000, provided inflation and trade dangers subside.