BTC
2025-02-08
Category: None

 Bitcoin's price has been dropping due to a combination of factors, such as Trade Tariffs. President Trump's announcement of import tariffs on goods from Canada, Mexico, and China led to a risk-off approach among investors, causing a decline in cryptocurrency prices. Concerns arose about tariffs increasing inflation, potentially leading the Federal Reserve to suspend or reverse interest rate cuts.
Profit-Taking: After a sustained rally, some investors decided to take profits, increasing selling volumes and decreasing the value of crypto assets.
Correlation with Traditional Markets: Cryptocurrencies are increasingly correlated with traditional markets, and losses in the Nasdaq and S&P 500 put pressure on the digital asset market.
USD Strength Combined with Yields Strength: Only if Yields and the USD find resistance around current levels will it stop Bitcoin and crypto markets from dropping. The USD remains very strong and a Bitcoin price drop is the logical outcome.
Psychological Level: The $100,000 level is a psychologically very important level and lots of bearish order blocks are in those  zone., buyers tried to breach 108k but failed on multiple occasion
Overly Bullish Sentiment: Overly bullish sentiment of investors also contributed to  price drop .
Bitcoin's price experienced a notable drop, reaching as low as below  89.5k and currently price is trading on demand on daily chart based on shavyfxhub strategy ,so  on technical break of the  demand floor will ultimately return the price to the supply roof thereby exposing 80k and 70k zone.
Be careful of falling bitcoin prices.