According to Aureli Baltai, the chief research analyst of Nansen, the encrypted money market could reach its lowest point in the next two months, and 70 per cent of the possibility had occurred before June. This projection depends largely on the outcome of current global tariff negotiations, in particular the mutual import tariff measures announced by United States President Donald Trump. These tariffs, aimed at reducing the United States trade deficit and promoting manufacturing, are creating uncertainty in financial markets.
Trump announced these measures on 2 April to address the $1.2 trillion trade deficit. Previous tariff announcements had led to global market volatility, and experts were closely following the impact of that decision. Bartet stressed that the climate of ongoing trade negotiations would determine to a large extent when the encrypted currency market would be at its bottom. The Nansen study estimates that between now and June, 70 per cent of the probability of encrypted currency prices will reach a minimum.
Bitcoin and Ethera are now 15 per cent and 22 per cent, respectively, higher than the year. With the stagnation of digital and traditional markets, investors have taken a cautious approach. Bitcoin was consolidated between $82,000 and $85,000 and showed limited fluctuations after the first quarter adjustment period. Traders look forward to a breakthrough of $84,500, which will herald a more positive momentum. Bitcoin is at $82,000, while some analysts expect to rise to $86,500 or even $90,000 if the mood turns positive.
Crypto Fear & Greed Index remained above “extreme fear” in three consecutive sessions, despite the cautious approach of the market. This indicates that, while there has been some improvement in mood, investors are still reluctant to invest on a large scale in an uncertain environment. As a result, many have opted for a “see-and-see” strategy, delaying major investments until the prospects become clearer.
The volatility of traditional and encrypted currency markets demonstrates their close link to global economic uncertainty. As the United States continues its tariff negotiations, investors want a solution that provides clarity to the market. Baltai believes that, once the most difficult phase of the negotiations has been concluded, the encrypted currency market may eventually see a clearer path to recovery, marking a possible backlash of encrypted currencies such as bitcoin and the Ethera.
The key is that trade tensions continue to shape investor sentiment, and the outcome of these negotiations is likely to be a key factor in the direction of encrypted money markets in the coming months.