Despite Optimism, Bitcoin May Face Short-Term Turbulence
After a rough month leading to new year-to-date (YTD) lows for Bitcoin and other crypto assets, optimism surged this weekend following statements from President Donald Trump, causing prices to rebound.
However, significant hurdles remain, with March 7 being a key date, as the U.S. will release crucial employment data for February 2025—including non-farm payroll and unemployment rates. Federal Reserve Chair Jerome Powell is also scheduled to speak, which may provide insights into possible interest rate cuts.
According to TRADING ECONOMICS, the U.S. is anticipated to have added 153,000 jobs in February 2025, while the unemployment rate is expected to hold steady at 4.0%.
On the same day, Trump will host the first White House crypto summit, with market participants hoping for concrete developments, meaning price action could be volatile.
Additionally, the implementation of Trump’s tariffs on Canada and Mexico on March 4 may also influence the market this week.
Despite these potential short-term fluctuations, many analysts, including Geoffrey Kendrick from Standard Chartered, express long-term optimism. He likened Trump’s support for crypto to a ‘Trump put for crypto’—indicating a willingness to assist in preventing major downturns. Kendrick believes this sentiment might enhance investor confidence, potentially stabilizing prices and fostering state-led Bitcoin and crypto reserve initiatives.
He maintains a bullish outlook, aiming for a $500,000 Bitcoin target before Trump’s term ends, given improved access and reduced volatility.
Currently, Bitcoin retains most of its weekend gains, trading at $92,600.
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