Bitcoin has reclaimed the $90,000 mark, buoyed by US President Donald Trump”s recent address at the World Economic Forum held in Davos, Switzerland. During his speech, Trump tackled various pressing topics, including the controversial discussions surrounding Greenland and updates relevant to the cryptocurrency landscape.
The rally in BTC prices came alongside a positive response from most financial markets, recovering significantly after a brief dip below $88,000 earlier in the day. Analysts from the Kobeissi Letter indicated that Trump”s tariff threats typically follow a well-defined twelve-step trajectory. Currently, they assess the US-EU situation to be at step seven, where buyers typically enter the market, triggering what they refer to as a “relief rally.” However, this uptick often peters out, leading to further downward pressure.
Despite the recent gains in Bitcoin, it”s crucial to note that savvy investors usually begin accumulating around steps seven and eight of this process. This insight could explain the resurgence in BTC prices, lifting the cryptocurrency back above the $90,000 threshold.
In addition to discussing tariffs, Trump reiterated his stance on interest rates, advocating for the lowest rates possible, while urging Federal Reserve Chair Jerome Powell to consider cuts in the upcoming week. On the topic of cryptocurrency regulations, Trump emphasized the importance of the US maintaining its status as a leading hub for digital assets and expressed optimism regarding the swift passage of a controversial legislative bill that had been in the spotlight the previous week.
While Trump assured that the US would not resort to force in its dealings concerning Greenland, tensions remain palpable, as recent reports suggest that the European Union has halted negotiations on a trade agreement with the United States following Trump”s remarks.
