Cryptocurrency prices have fallen sharply in the last 24 hours. Investors have withdrew their dangerous assets with a higher tension between the US trade war.
As a result of retaliation, the US has now raised China’s import tariffs to 245%and added new restrictions to chip exports.
Trump urged China to start a trade talks that the United States is not needed. But if China wants to solve the problem through negotiations, the United States has said that the US should stop using pressure and threats. “In order for dialogue to take place, it must be based on equality, respect and mutual benefits.‘ Lin Jian, a Chinese spokesman for the Chinese Ministry of Foreign Affairs, said.
The United States previously imposed a 145%tariff on imports of China, and China responded with a 125%tariff on US products.
Bitcoin and a wide range of markets
Bitcoin has decreased by more than 2% in response and the wider encryption market has decreased by 3.75%. The stock market was also affected as NASDAQ 100 futures decreased by more than 1% and S & P 500 futures decreased by 0.65%. Bitcoin has been relatively stable during the previous session, but it suggests that bulls may be slow recently. Currently, it is falling more than 2% to $ 83,826 last day.
In addition, Bitcoin has fallen below the 200 -day simplicity on March 9, which often suggests major trend changes. According to Coinbase Institutional, this movement suggests that Bitcoin’s rapid reduction means the beginning of a new bear market cycle that started at the end of March.
Is the bull market over?
David Duong, the research director of Coinbase Institutional, said the main risk adjustment performance indicator, called Z-Score, would have ended the cryptocurrent bulls at the end of February. The market has been moving sideways since then.
But the encryption price was relatively well maintained. The merchant of Market Maker Wintermute believes that this stability provides merchants with confidence to use protective strategies such as hemp. As a result, some major brokers moved to risky assets neutral to neutral. The upcoming market movement will depend on the actual economic data.
Macroscopic factor
Major economic data will be announced this month, including the speeches of Fed Chair, which investors expect the insight into the next rate cut. Meanwhile, due to the uncertainty of risk assets, the number of investors increased by more than 26% this year due to safe assets such as gold, while the dollar decreased by 9%. Gold also increased the US China’s tension and made a new record of $ 3,300 per ounce.
Analyst Ali Martinez has recently pointed out that Bitcoin has been integrated in the channel and has a good opportunity to counterattack and rise in the middle or top of the range because the level of support of $ 83,200 is strongly maintained. Whether Bitcoin will go up or fall further, there is still a remain.