Bitcoin’s Big Leap: A Simple Look at Trump’s Tariff Delay Impact
Bitcoin, the world’s most famous digital money, has made news again by jumping over the $90,000 mark. This big jump happened because of several things, including a major change in global trade rules. On March 5, 2025, Bitcoin went up by 3.7% in just one day, reaching over $90,000, after hearing that Donald Trump delayed putting extra taxes on car parts from Canada and Mexico[3]. This move made investors feel better and helped other markets to bounce back too.
How Trump’s Tariff Delay Helped
The U.S. government’s decision to delay these extra taxes had a big effect on markets all over the world. This delay, along with other good economic news like Germany planning to ease debt rules and China planning to spend more, made people more willing to take risks, which led to a rise in the price of things like Bitcoin[3]. The U.S. dollar also got weaker, which helped Bitcoin’s price go up[3].
Bitcoin’s Price Rollercoaster
Bitcoin’s price has been going up and down a lot lately. After falling below the $90,000 line, it dropped by almost 14% to around $78,200[1]. But then, after Trump talked about cryptocurrency reserves, Bitcoin’s price went up by over 23% to $96,700[1]. Even though it had this big jump, Bitcoin is still facing some downward pressure[1].
What People Think and Technical Stuff
Some market experts say that Bitcoin might be ready for a comeback because it’s been selling a lot, which is shown by something called the Relative Strength Index (RSI)[2]. The RSI reading of 31.16 means that Bitcoin might be ready for a price increase if the selling stops[2]. But, the fact that big Bitcoin holders, called “whales,” aren’t buying more could make the price go down more[2].
Bitcoin’s Strong Points
Even with all the ups and downs, Bitcoin’s strong points are still there. A thing called the Bitcoin Fundamental Index, which shows how healthy the Bitcoin network is, has stayed strong even when the price has been going up and down[3]. This means that Bitcoin is unlikely to have a long period of low prices, which is good news for people who believe in it[3].
So, What’s Next for Bitcoin?
What Happened and What’s Coming Up
Bitcoin’s big jump over $90,000 shows that it can change a lot based on what’s happening in the world economy. The delay in extra taxes by Donald Trump helped make this happen, along with other good economic news. Even though Bitcoin has some challenges, like bearish trends and less buying by big holders, its strong points suggest that it can handle a long period of low prices. As the cryptocurrency world keeps changing, people who invest in it will watch closely to see how these things affect Bitcoin’s price in the coming months.
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Sources:
– Cointribune
– BeInCrypto
– CoinDesk
– Binance