Bitcoin falls below $87,000 – tariff concerns catch up with investors again

Bitcoin, the most important crypto asset by market size, is trading below the $87,000 mark again on Wednesday, two days before the release of important US price data.

Bitcoin Falls Below $87,000 – Tariff Concerns Catch Investors Again

Bitcoin, the most important cryptocurrency by market size, traded below the $87,000 mark again on Wednesday, two days before the release of important US price data. In addition to the question marks surrounding US monetary policy, tariff concerns are likely to have caught up with investors again. Risk appetite at the beginning of the week was fueled by hopes of a looser approach from Trump on tariff policy and further interest rate cuts in the US.

Wait-and-see approach due to Donald Trump – extent of tariffs remains unclear

Trump had indicated that not all of the tariffs he had promised would be introduced on April 2nd and that some countries could receive exemptions, it was reported. In this context, investors are likely to adopt a wait-and-see approach and avoid larger investments.

US price data in focus on Friday – Investors hope for interest rate cut signals

The so-called “PCE deflator” for personal consumption expenditures (PCE) is also likely to be in focus on Friday (1:30 p.m.). Investors are hoping for important inflation signals in this context.

Following the most recent Fed meeting last Wednesday, the idea that the US central bank could continue its interest rate cut cycle this year may persist. At its meeting, the Fed announced two further interest rate cuts of a quarter of a percentage point each. The prospect of further globally declining capital market interest rates could play into the hands of risky and interest-free investments like Bitcoin.

$90,000 level as a possible resistance zone

On the upside, the psychologically important $90,000 level remains in sight, which must be overcome. Only a sustained conquest could clear the path to $100,000. On the other hand, investors could encounter resistance at this hurdle. Should tariff concerns, in particular, take over again, this could be detrimental to general risk appetite. In this context, investors should initially prepare for selling pressure down to $80,000.