In a bullish forecast for Bitcoin, crypto analyst Markus Thielen has suggested that the leading cryptocurrency might be approaching a significant rebound as both political and monetary policy shifts create a favorable environment. Following President Donald Trump’s indication of flexibility regarding tariffs, alongside the Federal Reserve’s recent stance against short-term inflation fears, Bitcoin appears poised to attempt a rally towards the coveted $90,000 mark.
The analyst points out, “Bitcoin is attempting to form a bottom, supported by Trump’s recent shift toward ‘flexibility’ on the upcoming reciprocal tariffs set for April 2, softening his earlier approach.” Such a political shift, combined with the Fed’s persistent dovish stance, may set the stage for a positive price action in the cryptocurrency markets.
Recent data shows Bitcoin trading at $85,720, marking a 2.1% increase over the last 24 hours. Thielen’s analysis reveals that the 21-day moving average of Bitcoin has now settled at $85,200, indicating strong bullish reversal indicators that signal a potential price increase. As several altcoins, including Ether (ETH), Tron (TRX), and Avalanche (AVAX), have already begun breaking away from their downtrend channels, the market may find itself on the brink of a new bullish trend.
Despite the optimistic outlook, Thielen warns of significant resistance that Bitcoin may encounter at the $90,000 level. He emphasizes that while the technical indicators are showing promise, the landscape remains uncertain as there is no clear catalyst for an immediate parabolic rally. Additionally, he noted the resilience of large Bitcoin holders, particularly family offices and wealth managers, who continue to support prices above $73,000, which Thielen believes will prevent a return to a deep bear market.
Furthermore, the inflow into US-based spot Bitcoin ETFs has been revitalized for the first time since January, suggesting that the market’s confidence is beginning to stabilize. As arbitrage-focused selling from ETFs winds down, Thielen anticipates a gradual solidification of price support that may foster the conditions necessary for Bitcoin to reclaim its past glory.
