Bitcoin briefly dipped below $95,000 due to tariff threats from China but soon recovered to $97,000. Despite this, institutional interest in cryptocurrency remains low.
Current Bitcoin Market Situation
On February 9, Bitcoin temporarily fell below the $95,000 mark following news of potential Chinese tariffs on US energy imports. However, it regained the $97,000 support level by February 10, as US President Donald Trump imposed a 25% tariff on steel and aluminum. Despite this recovery, the demand for Bitcoin among institutional investors remains weak, with ETF inflows and derivative data suggesting limited buying interest.
Macroeconomic Factors and Their Impact
The challenges faced by Bitcoin stem more from broader macroeconomic conditions rather than cryptocurrency-specific issues. The yield on 10-year US Treasury bonds has fallen to 4.50% from 4.78%, reflecting increased investor caution. President Trump's tariff policies add further economic risk. Additionally, Moody’s has warned of a potential downgrade of the World Bank's credit rating, while proposed US state laws to establish Bitcoin reserves may spark a global accumulation race.
Outlook and Future Developments
Despite the challenges, Bitcoin retains potential for growth. Legislative initiatives in the US could lead to favorable developments, though a sharp price increase is unlikely in the short term unless there are major changes in the global economy.
While macroeconomic conditions and US trade policy pressure Bitcoin, it retains potential for growth with favorable regulatory changes.
