Trump’s 25% Iran tariff jolts markets as Bitcoin stalls at dense resistance, options reset, and macro volatility keeps BTC, ETH trapped in a choppy range.
Summary
- Bitcoin and Ethereum slipped after Trump announced a 25% tariff on all countries trading with Iran, while Dash and Monero outperformed.
- Bitfinex analysts say BTC is capped by a dense supply zone and fading options open interest, leaving price range-bound despite long-term bullish positioning.
- LMAX’s Joel Kruger warns elevated macro volatility from U.S. data, Fed signals and geopolitical tensions will dictate whether BTC and ETH break consolidation.
Bitcoin declined following U.S. President Donald Trump’s announcement of a 25% tariff on all countries trading with Iran, according to market data. Ethereum also experienced modest losses during the same period.
While Bitcoin (BTC), Ethereum (ETH), and other digital assets showed minor declines and stagnation, privacy-focused cryptocurrencies gained attention with significant price increases. Dash and Monero both posted notable gains, despite Dubai, a major digital asset hub, implementing a ban on privacy-focused altcoins.
Bitcoin reacts to Trump’s renewed tariff on Iran trade
Bitfinex analysts released an analysis stating that while long-term sentiment remains positive, investors have adopted a cautious stance in the short term. The analysts noted that Bitcoin’s upward movement has been constrained by a strong resistance zone, with multiple rejections occurring at this level in recent weeks.
According to the Bitfinex report, Bitcoin is currently approaching a dense supply zone characterized by significant recent buyer activity and a broad cost base. The analysts stated that until this supply zone clears, the market is expected to remain range-bound with gradual gains rather than entering a sharp uptrend.
The report also indicated that open options positions have declined by nearly half, suggesting a “clean picture” in the derivatives market. Derivatives market data shows investors are increasing long-term bullish positions, with heightened interest in long-term call options, which the analysts interpreted as an indication of optimism regarding future price movements.
LMAX strategist Joel Kruger issued a statement warning that macroeconomic volatility is expected to remain elevated in the coming period. Kruger cited a busy schedule including U.S. inflation data releases, earnings reports from major banks, Federal Reserve statements, geopolitical tensions, and an ongoing Justice Department investigation related to the Federal Reserve chair.
Kruger stated that specific price levels for Bitcoin and Ethereum remain critical indicators for determining whether the current consolidation phase will trigger a new uptrend.
