HomeNewsBitcoin Primed for Rebound as Fed Loosens Policy, Trump Revises Tariffs

Bitcoin Primed for Rebound as Fed Loosens Policy, Trump Revises Tariffs

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  • Markus Thielen predicts a potential Bitcoin rebound towards $90,000, driven by favorable policy shifts from the Federal Reserve and Donald Trump.
  • Despite the recent price declines, Bitcoin shows signs of the broader crypto market, supported by long-term holders and broader altcoin positive recovery.

Bitcoin’s 24-hour trading has recorded negative price movement, which is inherently temporary. Analysts believe that Bitcoin may be on the verge of a major rebound.

More precisely, analysts predict that BTC could surge toward the $90,000 mark following key policy changes from both the Federal Reserve and Pro-Crypto President Donald Trump.

Renowned 10x Research’s founder, Markus Thielen has weighed in on the matter pinpointing the combination of Trump’s softened stance on tariffs especially on the upcoming April 2 reciprocal tariffs and the Feds willingness to tolerate near-term inflation.

Thielen stated in a March 23 report;

Bitcoin is attempting to form a bottom, supported by Trump’s recent shift toward ‘flexibility’ on the upcoming April 2 reciprocal tariffs, softening his earlier rhetoric.

Additionally, the renowned figure stated that the Federal Reserve’s March 18-19 meeting hinted that it would “look past short-term inflationary pressures, laying the groundwork for potential future easing”

He also noted that Fed Chair Jerome Powell’s “mild dovish tone” indicates that the central bank’s protective stance remains intact, which is beneficial not only for stock markets but also for Bitcoin.

BTC’s Technical Analysis

BTC’s technical analysis push towards a bullish end. Notably, According to the 10x Research boss, Bitcoin’s 21-day moving average currently sits at $85,200, with multiple reversal indicators turning bullish.

Thielen pin pointed to historical events such as September 2023, when the BTC ETF narrative was hot news driving a rally and August 2024, ahead of the presidential election. This he highlighted that Bitcoin has resumed bull markets at similar technical levels.

“In short, the technical backdrop has now reset to a point where a renewed uptrend could plausibly unfold,” Thielen noted.

Drawing his attention to the broader crypto market, Theinel spotlighted other altcoins that have showcased signs of life, breaking out of their downward momentum.

This hinted that the overall crypto market is slowly revitalizing.

Meanwhile, Bitcoin is swapping hands with $86,712.16, marking a 0.70% decline in the past 24 hours. It is worth mentioning that the current market price represents a 4.14% surge in the past week.

Meanwhile, Ether, Tron, and Avalanche have also seen significant rebounds, posting gains of 4.3%, 6.4%, and 8.9%, respectively, over the past week.

While Bitcoin’s recovery appears promising, Thielen cautioned that significant resistance lies at the $90,000 level.

No clear catalyst exists for an immediate parabolic rally, he said,

suggesting that while bullish conditions are forming, a sharp, exponential price movement is unlikely in the near term.

Long-term investors holding 100-1,000 BTC play a key role in Bitcoin’s resilience. Their tendency to hold through volatility has supported Thielen’s prediction that a deep bear market and a price below $73,000 would be avoided.

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Dennis Grace
Dennis Grace
Peter Macharia is a crypto enthusiast and seasoned writer who specializes in blockchain technology, digital assets, and decentralized finance. He has a talent for simplifying complex concepts and turning them into engaging informative content. With a deep understanding of the industry, Peter delivers clear and precise analysis that resonates with both beginners and experienced crypto enthusiasts.
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