Cointelegraph experts spoke about the influence of macroeconomic factors on Bitcoin dynamics

In the global economy, obvious uncertainty is observed, which was also reflected on Bitcoin. In early February, the head of the United States Donald Trump promised to introduce increased duties on imports against China, Mexico and Canada. From that moment, institutional investors have withdrawn more than $ 3.5 billion from Sport Bitcoin-ETF.

Already on March 4, the United States signed a decree on the introduction of 25%duties on goods from Canada and Mexico. The presidential administration also ratified 10%of import fees from China. Against this background, a number of experts predicted that according to the results of the 1st quarter, the American economy will decrease by 2.8%. The trade confrontation between the United States and China contributed to the fall of the Dow Jones index on 800 basic points. Since the cryptocurrency niche is closely related to the dynamics of the American stock segment, it also encounters pressure.

It is also worth considering that, unlike traditional markets, cryptocurrencies trading can be in 24/7 mode. That is why digital assets immediately respond to any macroeconomic changes. On Sunday, February 23, Donald Trump announced the upcoming changes in tariff plans in the United States. This resulted in a mass sale bitcoinagainst the background of which his quotes fell to $ 90,000. Already by the end of the month, the total cryptorrhene lost more than $ 1 trillion in capitalization.

A pronounced reaction was also to the announcement of Donald Trump on the creation of a strategic cryptocurrency reserve, which will enter not only Bitcoin, but also several large altcoins.

This provoked a sharp increase in a number of digital coins. However, sellers quickly took control of the situation. This is due to the expectations of bidders that from a legislative point of view to realize such an initiative will be extremely difficult.

Author

Andrey Alexandrov