In a surprising turn of events, Bitcoin (BTC) has fallen below the $100,000 mark, dropping to $96.8K as markets react to the recent tariff announcements made by former US President Donald Trump. These tariffs, imposed on goods imported from China, Canada, and Mexico, have sparked fears of rising inflation, further complicating the economic landscape and putting downward pressure on cryptocurrency prices.
As traders adopt a cautious stance, many are wondering whether this dip presents a buying opportunity or if it signals a more profound market correction. Analysts forecast that Bitcoin might further decline, with notable support levels at $95,000 and below, potentially drawing altcoins into a downturn as well.
Despite the current bearish sentiment surrounding Bitcoin, some altcoins like OM, XMR, MNT, and GT continue to show potential for recovery. For instance, Mantra (OM) is maintaining an upward trajectory, but its sustainability depends on overcoming resistance levels at $6. Similarly, Monero (XMR) has recently closed above its significant resistance level but is facing pressure to hold below $235. Maintaining momentum could lead to a recovery towards $265.
Market analysts suggest that the current situation may be indicative of a bear trap, particularly as “panic and crash forecasts” after minor corrections do not necessarily indicate a market top. To navigate these volatile waters, it is essential for investors to closely monitor the technical indicators across various cryptocurrencies.
If you are considering diving into the crypto market, remember that while some altcoins may present opportunities for profit during this corrective phase, Bitcoin’s movements will heavily influence the overall market sentiment. Investors should conduct thorough research and consider their risk tolerance before making trading decisions as the landscape continues to evolve.
