Bitcoin (BTC) price action teases investors ahead of Liberation Day

Crypto lovers are anticipating volatility ahead of the much talked about “Liberation Day” on April 2, when U.S. President Donald Trump will announce fresh tariffs

Crypto lovers are anticipating volatility ahead of the much-talked-about “Liberation Day” on April 2, when U.S. President Donald Trump will announce fresh tariffs against 25+ countries, with Bitcoin, Ethereum, and altcoins all set to face major price movements.

Global markets including crypto are tumbling ahead of President Trump’s maverick plan to arm-twist over two dozen nations including some of his strongest allies. Crypto experts, who otherwise have been bullish on Trump’s policies till now, expect major price correction for leading cryptocurrencies if Trump’s tariff plans actually see the light of day on Wednesday. Bitcoin, known for its high volatility, is now bracing for the newest Trump card in the form of Liberation Day.

Bitcoin price has shown a notable action in the past 24 hours with it breaking above $85k and giving a leap of faith to investors as it pulled back near $80k earlier on this Monday. However, its past 7 days performance signals a bearish trend, which could be highly influenced after Trump’s announcement for the Liberation Day.

Meanwhile, the crypto market is processing with unappreciative performance in the first quarter (Q1) of 2025 where Bitcoin (BTC) has seen an 11.82% decline and Ethereum (ETH) is digesting a severe loss of 45.41% during the period.

Historically, crypto markets, including Bitcoin, have mirrored stock markets, coinciding with major downtrends in stocks and global trade markets in similar periods of uncertainty. For instance, Bitcoin fell over 27% during the U.S.–China trade war in 2018 while it was also entering the correction mode after making new highs in December 2017.

In another scenario, if Trump’s tariff plans indeed work out, then we can expect strengthening of the U.S. dollar in global markets. Again, historically, Bitcoin and other altcoins have taken a downward turn whenever the U.S. dollar has strengthened.

On the positive speculation, Bitcoin price is expected to surge with sharp gains, given that it has been asking for tremendous rises since losing the $90k mark in early March. If looked on the negative side, the drop below $80k is in play as the increased selling pressure continues and it drives a large number of retail investors out.

Now it’s onto Donald Trump’s move, whether he sends the market up or disappoints investors and market players for the sake of saving the “America First” initiative.