Bitcoin is experiencing significant bearish sentiment as the price drops below $80,000. Recent tariffs on China and possibly the UK have created huge uncertainty among market participants and institutions.
Impact of New Tariffs on the Market
The introduction of new tariffs has affected markets, leading to a sell-off among investors. Institutions like Blackrock have begun liquidating BTC and ETH ETF holdings, exacerbating market pressure.
Short Liquidations Outperform Longs
After breaking from the $96,000 range, traders have become bearish. Data from Coinglass shows a significant accumulation of short positions, surpassing longs at a 10:1 ratio.
What's Next for the Bitcoin Price Rally
Current charts show bearish trends. Bitcoin's price is approaching critical support levels, and if bulls fail to defend these levels, a further 20% decline could occur.
If Bitcoin's price fails to find support and breaks below $72,207, selling pressure may escalate, potentially dragging prices down to previous highs around $69,000.
