Bitcoin Breaks Below $80K as Tariff Fears Lift U.S. Dollar
Bitcoin (BTC) continued its downward trajectory during Friday’s Asian trading session, falling below $80,000 for the first time since November as escalating U.S. trade tariffs fueled demand for the dollar.
Key Takeaways:
- BTC Loses Key Support: The leading cryptocurrency slipped under its 200-day simple moving average (SMA), pushing its weekly loss to 16%.
- Altcoins Under Pressure: XRP breached a key Fibonacci support level, hinting at further downside. Solana (SOL) tumbled to $125.6, its weakest point since September, while DOGE erased nearly 78.6% of its prior rally, dipping below 20 cents.
- Trade War Concerns Intensify: President Donald Trump reaffirmed plans to impose new tariffs on Canada and Mexico starting March 4, while also announcing a sharp increase in levies on Chinese imports.
- Dollar Strengthens: The dollar index (DXY) climbed to 107.30, continuing its rise from Wednesday’s 106.15 level. Analysts at ING anticipate sustained dollar strength as tariff concerns escalate.
With rising geopolitical tensions and macroeconomic uncertainty, crypto traders remain cautious as volatility grips the market.
