Bitcoin price experienced a short-lived dip to $95,000 before rebounding, as market sentiment reacted to fresh trade policy uncertainties. Analysts at QCP Capital noted that recent developments, including tariff threats and upcoming economic data, are shaping this week’s market direction.
What’s Next For Bitcoin Price?
The decline followed former U.S. President Donald Trump’s announcement of a 25% tariff on steel and aluminum, which momentarily unsettled global markets. QCP Capital highlighted that “this Monday continues to set the week’s tone,” with recent market swings influenced by DeepSeek’s activities two weeks ago and tariff-driven volatility last week.
Trump’s latest tariff remarks have placed a renewed focus on trade relations, particularly with key U.S. partners. “With Mexico and Canada among the top three U.S. suppliers, the tariffs cast doubt on last week’s temporary delay and could reignite trade tensions,” QCP Capital stated. Additionally, his comments on potential sanctions against Japan follow the White House’s recent move to block Nippon Steel’s acquisition of U.S. Steel.
Equity markets in Asia saw a slight decline, while commodity prices remained mostly stable. Bitcoin’s brief drop appeared sentiment-driven rather than a reaction to fundamental shifts in risk appetite. Analysts at QCP Capital noted that “BTC briefly dropped to $95K before rebounding—suggesting a sentiment-driven move rather than a fundamental shift in risk appetite.”
Volatility in Bitcoin price is currently skewed towards the downside, with puts dominating until at least April. QCP Capital stated that “BTC volatility now skews in favor of puts until April, reflecting a lack of upside catalysts.”
The current market trend is creating a feedback loop, as traders react to political developments and policy shifts. “President Trump, highly sensitive to market reactions, is facing a market increasingly calling his bluff,” QCP Capital noted, adding that this dynamic could further contribute to volatility in the weeks ahead.
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Source: https://www.cryptonewsz.com/bitcoin-price-qcpcapital-less-upside-potential/