Bitcoin’s price is recovering a bit, trading above $83,500 on Tuesday after steadying on Monday. It fell 4.29% last week. Crypto Finance says Bitcoin’s dominance rose to 61.4%, showing it’s the pick when markets get rough. That’s helping this uptick.
But watch out—economic uncertainty, Trump’s tariffs, and stagflation risks might push it down since it moves with stocks when folks get nervy.
Bitcoin’s at 61.4% and Tether’s $735M Move Helps
Crypto Finance reported Tuesday that Bitcoin’s dominance hit 61.4%. That’s a shift toward BTC as the strong one during market stress, propping up its price. Tether, the USDT stablecoin folks, pulled 8,888 BTC—worth $735 million—from Bitfinex’s hot wallet Tuesday.
Their reserve wallet now holds 92,647 BTC, valued at $7.65 billion, making it the sixth-largest Bitcoin stash. Taking that off exchanges cuts selling pressure, a plus for Bitcoin’s climb.
Trump’s Tariffs and Economic Woes Could Hit Hard
The Kobeissi Letter said Monday the US Trade Policy Uncertainty Index is at 25%. That’s higher than Trump’s first trade war peak—never seen that before. Ray Wang’s chart shows tariffs threatened on the EU could smack $600 billion of imports.
That might drop US GDP by 70 basis points and lift inflation by 40. Kobeissi says stagflation’s already here, and Goldman Sachs warns of a 35% recession chance next year. With risk-off vibes, Bitcoin’s stock connection could drag it down short-term.
Later, it might perk up as a hedge against inflation and a weak dollar if the Fed eases up.
$83,500 Today: Where’s It Headed?
Bitcoin was trading between $85,000 and $88,000 last week. It closed below that lower line Friday, then slid 5.53% through Sunday. Monday it stabilized around $82,500. Now, on Tuesday, it’s above $83,500.
The RSI on the daily chart is at 45, pointing up toward 50—bearish momentum’s weakening. It needs to top 50 for this rally to roll on. MACD lines are coiling, showing bitcoin price prediction traders can’t decide. If it keeps going, $85,000’s next. If it gets stuck, $78,258 might be the drop zone.
