- Trump’s tariff war escalates which could bring deadly consequences to Bitcoin.
- One financial expert believes a brutal dip of 80% to 90% could come for BTC.
- Analysts remain hopeful for crypto market to recover steadily.
The crypto market continues its weak performance exhibiting a sad start to Q2 2025. Most analysts expect a rally to arrive between May to June, but now, with the tariff war escalating, analysts expect a much bigger BTC price dip ahead. In detail, Trump’s tariff war escalates, leading analysts to expect deadly consequences for Bitcoin that could include an 80% – 90% BTC price dip.
Trump’s Tariff War Escalates
Since Trump’s inauguration and his taking his second win as the President of the United States of America, Trump has been working to deliver the many promises he spoke of while running for office. His initial platform included many promises the most prominent of which was to embrace crypto and improve the American economy using tariffs to tax the countries trading with the USA.
While these tariffs were meant to affect trade between other nations, US citizens will also be affected by this as high tariffs would mean more expensive products across the USA. In turn, countries are responding by adding tariffs of their own towards the USA. What’s more, these tariffs would also lead to a global impact across other sectors as well. As we can see from the post above, this reputed financial analyst marks that the escalations of the tariff war could lead to greater repercussions in terms of Bitcoin prices.
To highlight, the post made by the financial analysts states that Bitcoin is primed for a brutal correction, a correction that could lead to a potential 80% – 90% price drop in the long term. This is an especially concerning claim as Bitcoin is meant to hit much higher prices between $500,000 to $1 million in the long term. The post goes on to mention how no one understands how tariffs are an existential threat to BTC.
Bitcoin Under Pressure
To explain, the analyst mentions how nearly every aspect of Bitcoin’s infrastructure is built in regions now under pressure. For instance, the highest tariffs are placed on China, the country where BTC mining machines are made, where Bitcoin mining pools are present, and where chips are sourced from. Lastly, the analyst concludes that the upcoming stablecoin regulations on Tether will add to the trouble.
However, some analysts state that Trump’s tariffs are only present to pressure the Fed to announce a 1% rate cut. Perhaps after this goal is met the tariffs will be lifted and Crypto can thrive. Additionally, technical analysis all points to explosive price action for BTC and altcoins in the days ahead. Are all these moves lining up for a stable price pump?
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