- Tariff uncertainty weighs on crypto as speculation over US tariffs impacts risk assets with analysts eyeing key April 2nd announcements.
- Altcoins struggle amid bearish trends as the crypto market cap excluding BTC and ETH continues its correction with weak momentum persisting.
- Gold hits record highs as a safe asset as it soars past $3,097 attracting investors while inflation fears grow contrasting crypto’s weakness.
The crypto market faces uncertainty as discussions over potential tariffs intensify. According to Michael Van de Poppe, upcoming U.S. trade policies could be crucial. He noted that April 2nd might bring major tariff announcements from former President Donald Trump.
This uncertainty has weighed on risk assets, while gold continues to rally. The Kobeissi Letter also reported that Trump’s team is considering broader and higher tariffs, with a potential across-the-board hike of up to 20%. Analysts emphasize that this deadline will not mark the end of tariff-related uncertainties, further complicating market outlook.
Altcoins Struggle as Tariff Speculation Mounts
Altcoins have struggled to gain momentum, with the broader market correction persisting since December. Captain Faibik noted that the crypto market cap excluding Bitcoin and Ethereum is in a correction phase.
However, he suggested that Q2 could see bullish momentum if a wedge breakout occurs on the daily timeframe. This pattern could lead to a major rally, potentially recovering losses from the past several months. He advises holding strong altcoins and accumulating patiently rather than selling in panic.
Gold Hits Record Highs While Crypto Weakens
Gold prices continue to soar, reaching a record high of $3,097. Peter Schiff emphasized that this rally indicates gold’s strength compared to risk assets like stocks and Bitcoin, both of which have declined.
Analyst Ali echoed this sentiment, stating that gold is “mooning,” aligning with Schiff’s previous bullish stance on the precious metal. As inflation concerns persist and economic uncertainty rises, investors have turned to gold as a safe asset, further pressuring digital assets.
Meanwhile, market data indicates a continued downturn for altcoins. The Crypto Total Market Cap Excluding Bitcoin and Ethereum has fallen by 1.77%, dropping $13.68 billion to a current valuation of $760.96 billion.
The daily high reached $779.41 billion, while the low is at $754.56 billion. Trading volume remains high at $66.31 billion, suggesting active market activity despite prevailing bearish sentiment.
Technical Indicators Show Bearish Outlook
The RSI is at 38.47, nearing the oversold levels. A dip below 30 could indicate a short-term rebound if buying pressure emerges. The signal line, at 47.24, further confirms weak momentum.
The MACD also shows bearish conditions. The MACD line remains at -12.48 billion, while the signal line is at -9.92 billion. Additionally, the histogram indicates a negative value of -2.48 billion, reinforcing downward pressure.
These indicators suggest that unless a substantial shift occurs, further declines could be expected. Key support levels to watch include $750 billion and $700 billion. A break below these levels could accelerate selling pressure.
On the upside, resistance at $800 billion and $900 billion may act as potential recovery points if buyers step in. For now, the market remains cautious, with monitoring market movements amid ongoing economic uncertainties essential.
