Crypto Market Might Be on the Verge of Hitting a Local Bottom Within the Next Two Months

US President Donald Trump is set to announce a new tariff strategy aimed at reducing the trade deficit and boosting local manufacturing.

Crypto market might be close to hitting a local bottom within the next two months as ongoing uncertainty around US import tariffs keeps investor sentiment low, analysts suggest.

Once the tariff negotiations clear up, cryptocurrencies could stabilize, setting the stage for a potential rebound in the second half of 2023.

US President Donald Trump is set to announce a new tariff strategy aimed at reducing the trade deficit and boosting local manufacturing. The anticipation of these tariffs has already impacted global markets.

According to Aurelie Barthere from Nansen, there is a 70% chance that crypto valuations will find their bottom by June.

"We expect to see the bottom of the crypto market by June with a 70% probability, and the top of the stock market by May with an 80% probability," the analyst stated.

At press time, Bitcoin was trading at around $83,000, while Ethereum was handling at about $2,100. Both crypto behemoths are still trading 15% and 22%, respectively, below their year-to-date highs.

Bitcoin struggles to move above key MA

Nansen’s latest analysis indicates that both traditional and crypto markets lack upward momentum, with major indices and Bitcoin struggling to move above their 200-day moving averages. This cautious sentiment persists as investors await clarity on tariffs and economic growth.

Despite the uncertainty, Bitcoin is holding within a tight range of $82,000 to $85,000, showing some resilience. The Crypto Fear & Greed Index remains above the "extreme fear" mark, hinting at a slight improvement in market mood.

"The market is currently in a wait-and-see phase, and if conditions improve, we could see Bitcoin rally towards $86,500 or even $90,000," noted Stella Zlatareva from Nexo.

As the anticipation for the tariff announcement builds, market participants will be closely following the developments for clues on the near-term trends in both crypto and traditional assets. The announcement could have a significant impact on the market's direction in the coming months.output: Crypto market might be close to hitting a local bottom within the next two months as ongoing uncertainty around US import tariffs keeps investor sentiment low, analysts suggest.

Once the tariff negotiations clear up, cryptocurrencies could stabilize, setting the stage for a potential rebound in the second half of 2023.

US President Donald Trump is set to announce a new tariff strategy aimed at reducing the trade deficit and boosting local manufacturing. The anticipation of these tariffs has already impacted global markets.

According to Aurelie Barthere from Nansen, there is a 70% chance that crypto valuations will find their bottom by June.

"We expect to see the bottom of the crypto market by June with a 70% probability, and the top of the stock market by May with an 80% probability," the analyst stated.

At press time, Bitcoin was trading at around $83,000, while Ethereum was handling at about $2,100. Both crypto behemoths are still trading 15% and 22%, respectively, below their year-to-date highs.

Bitcoin struggles to move above key MA

Nansen’s latest analysis indicates that both traditional and crypto markets lack upward momentum, with major indices and Bitcoin struggling to move above their 200-day moving averages. This cautious sentiment persists as investors await clarity on tariffs and economic growth.

Despite the uncertainty, Bitcoin is holding within a tight range of $82,000 to $85,000, showing some resilience. The Crypto Fear & Greed Index remains above the "extreme fear" mark, hinting at a slight improvement in market mood.

"The market is currently in a wait-and-see phase, and if conditions improve, we could see Bitcoin rally towards $86,500 or even $90,000," noted Stella Zlatareva from Nexo.

As the anticipation for the tariff announcement builds, market participants will be closely following the developments for clues on the near-term trends in both crypto and traditional assets. The announcement could have a significant impact on the market's direction in the coming months.