On Wednesday, Bitcoin continued its downtrend, dipping below $83,500 after briefly stabilizing the day before. Market pressure has escalated due to unclear signals from the Trump administration regarding tariff policies. Although the White House has recently softened its rhetoric, uncertainty about future actions persists, Decrypt reported.
US Press Secretary Karoline Leavitt indicated that discussions are underway to support American farmers affected by escalating global disputes. Concurrently, negotiations with 15 countries to reach favorable trade agreements are picking up steam.
Recent proposals to fund a US Bitcoin reserve with import duties have increased investor caution. Therefore, the cryptocurrency fell around 2% on the day.
To gauge the potential impact of trade risks on the Fed's monetary stance, market participants are closely monitoring upcoming central bank statements and macroeconomic data releases. With concerns about stagflation growing, Yardeni Research analysts warn that Bitcoin is widely viewed as a barometer of global economic uncertainty.