Bitcoin’s Rollercoaster Ride: Trump’s Tariff Tango Sends Traders Tumbling 🎢💸

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On the fateful Wednesday, as Trump’s tariffs began to unfurl like a magician’s endless handkerchief, Bitcoin danced to the tune of $88,600. Yet, as the market unpeeled the layers of these tariffs, akin to peering into Pandora’s box, a7% tumble ensued, triggering a domino effect of liquidations, akin to a grand opera where a chorus of traders lamented their losses as more than $6,000 vanished into the ether in mere hours. 🎭💔

The Market’s Misguided Premonitions

Before the announcement, The Wall Street Journal whispered tales of a10% universal tariff, with a hint that some nations might face steeper climbs. Yet, the market, in its naive optimism, clung to the hope of a uniform10%, as noted by the Kobeissi Letter on X, only to be rudely awakened. 📜🔮

A Liquidation Fiesta for Both Sides

As per Coinglass, a carnival of liquidations unfolded, with both long and short traders contributing to a $487 million spectacle within a day. Traditional markets, blessed by the late announcement, saw the S&P500 and Nasdaq close on a high note. However, the Nasdaq mini futures plunged6%, erasing $1,200 before a slight recovery, like a tightrope walker narrowly avoiding a fall. 🎪📉

A S&P500 Conundrum

What lies ahead for the market? While U.S. stocks may shiver at the opening bell, the weekly chart hints at a potential bounce. Should the market decide to embrace its inner bear, the S&P500 could slip to the low $5,000s. Yet, the Stochastic RSI, with its mystical cross-up, whispers of rallies past. 📈🔮

Trump’s High-Wire Act

The market, much like a gourmet savoring a complex dish, will take its time to digest the tariffs. On the surface, they spell doom, with little to soften the blow. The U.S. economy might find itself caught in a tempest, necessitating swift deals to mitigate the damage. President Trump, akin to a tightrope walker, must navigate these waters, aiming to weaken the dollar and lower the10-year bond yield, all while averting an economic freefall. 🎩🤹‍♂️

BTC‘s Failed Leap of Faith

On Thursday, $BTC clawed back1.3%, though it met resistance like a knight at a drawbridge. The announcement, encapsulated in a stark red candle, dashed the bulls’ hopes of breaching resistance. The price spike halted shy of a new peak, suggesting a return to sideways or downward meandering. 🛡️📉

Bulls on the Brink

The weekly $BTC chart retains a bullish glimmer, with the potential for a trend shift. Yet, time is a cruel mistress for the bulls. The descending trendline and $80,000 support are on a collision course, leaving but a week for a decisive move. Should the Stochastic RSI falter, a descent to $70,000 looms as the favored outcome. ⏳🐂

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2025-04-03 13:07