As April unfolds in the Bitcoin $0.000028 market, uncertainties for traders are escalating. Arthur Hayes, a co-founder of BitMEX, warns that developments originating from the United States could lay the groundwork for short-term volatility. New tariff regulations announced by Trump, the impending tax payment period, and signals regarding monetary policy are creating pressures in the markets. According to experts, it is critical for traders to adopt cautious strategies during this timeframe.
Tariff Decisions and Their Impact on Markets
The new tariff regulations announced by U.S. President Donald Trump on April 2 have impacted global markets, including the cryptocurrency sector. Hayes noted that this development could lead to sudden changes in the correlation between Nasdaq and Bitcoin, potentially triggering sharp movements in the short term. The relationship between volatility in tech stocks and Bitcoin price movements is attracting investor attention, while this synchronization also brings along certain risks.
According to Hayes’ analyses, tariff-induced anxiety could create confidence issues not only in traditional markets but also among cryptocurrency investors. Hence, the possibility of significant selling pressure in the market in the short term should not be overlooked. New steps in U.S. trade policies could directly influence the direction of the cryptocurrency market. Therefore, investors are expected to focus on macroeconomic indicators as much as on the price of Bitcoin.
Tax Season and Liquidity Pressures
Another crucial point highlighted by Arthur Hayes is the tax payment period starting on April 15. The requirement for individual and institutional investors in the U.S. to hold cash until this date could trigger sales in the cryptocurrency market. Hayes anticipates that many investors might liquidate their cryptocurrencies for dollars due to tax payments. This liquidity outflow could lead to sudden declines in the market.
Liquidity pressure is expected to be felt most acutely on days when volatility is already high. As investors seek to meet cash needs, they may exacerbate price movements. This could make the fragile structure of the market more evident. Analysts emphasize that during this process, cryptocurrency investors should pay special attention to liquidity management and portfolio balances.
Critical Support Levels and Monetary Policy Risks
Hayes expressed that moves by the U.S. Treasury regarding monetary policy could have a direct impact on the markets. The possibility of cash withdrawal from the market through increased bond issuance after the debt ceiling crisis also concerns cryptocurrency investors. This situation could indirectly reflect on Bitcoin’s price performance.
Furthermore, Hayes pointed out Bitcoin’s technical support at the $76,500 level. Maintaining this level could play a critical role in preventing sharp declines in the market. However, both tariff decisions and liquidity issues increase the likelihood of testing this support. Therefore, investors need to adopt more cautious positions in the short term.
Currently, Bitcoin is trading at around $84,014. However, during this period of rapidly changing market conditions, it remains a significant question how sustainable these price levels will be. Analysts recommend that investors reassess their portfolios and do not hesitate to take steps regarding risk management.