Bitcoin price today: rises to $85.5k amid Trump tariff relief hopes

The cryptocurrency market is witnessing another bullish surge as Bitcoin (BTC) climbs to $85,500, fueled by growing optimism over potential Trump-era tariff relief and broader macroeconomic tailwinds. Investors are increasingly betting on Bitcoin as a hedge against economic uncertainty, while political developments in the U.S. add further momentum to the rally.

In this article, we’ll break down:
✅ Bitcoin’s latest price movement
✅ How Trump’s tariff policies could impact crypto
✅ Key factors driving BTC’s upward trend
✅ Expert predictions for Bitcoin’s next move

Bitcoin Price Update: BTC Hits $85.5K

As of today, Bitcoin is trading at $85,500, marking a 5% increase over the past 24 hours. The rally comes amid:

• Renewed hopes for U.S. tariff reductions under a potential Trump administration
• Weaker-than-expected U.S. job data, increasing bets on Fed rate cuts
• Institutional inflows into Bitcoin ETFs, with BlackRock’s IBIT leading the charge

Bitcoin’s market cap has now surpassed $1.68 trillion, solidifying its position as the dominant cryptocurrency.

Bitcoin Price Analysis: Key Levels to Watch

• Support: $82,000 (previous resistance now acting as support)
• Resistance: $88,000 (next major psychological barrier)
• If BTC breaks $88K\ast \ast ,analystspredictaruntoward\ast \ast$95,000 before the next halving.

Why Trump’s Tariff Relief Hopes Are Boosting Bitcoin

Former President Donald Trump has hinted at potential tariff reductions if re-elected, a move that could ease trade tensions and boost market liquidity. Here’s why this matters for Bitcoin:

1. Weaker Dollar = Stronger Bitcoin

• Tariff cuts could weaken the U.S. dollar (DXY) as trade deficits expand.
• Bitcoin, as a dollar alternative, tends to rise when the USD weakens.

2. Increased Liquidity in Markets

• Lower tariffs may encourage more foreign investment into U.S. assets, including crypto.
• Bitcoin benefits from excess liquidity, as seen in past stimulus-driven rallies.

3. Political Uncertainty Favors BTC

• Trump’s pro-crypto stance (recently accepting Bitcoin donations) is seen as bullish for adoption.
• Investors view Bitcoin as a hedge against policy shifts, whether tariffs or inflation.

Other Factors Driving Bitcoin’s Rally

Beyond political developments, several macroeconomic and on-chain factors are supporting BTC’s surge:

1. Fed Rate Cut Expectations

• Soft U.S. jobs data has increased bets on a September rate cut.
• Lower interest rates typically boost risk assets, including Bitcoin.

2. Bitcoin ETF Demand Remains Strong

• Spot Bitcoin ETFs have seen 18 consecutive days of net inflows.
• BlackRock’s IBIT alone holds over 300,000 BTC, reducing market supply.

3. Bitcoin Halving Effect

• The next halving (April 2024) will cut Bitcoin’s supply growth in half.
• Historically, BTC rallies 6-12 months post-halving, suggesting $100K+ is possible in 2025.

Expert Predictions: Where Is Bitcoin Headed Next?

Crypto analysts are increasingly bullish on Bitcoin’s prospects:

• Standard Chartered reiterates its $150K Bitcoin price target for 2024.
• Tom Lee (Fundstrat): “Bitcoin could hit $100K before year-end if macro conditions align.”
• Michael Saylor (MicroStrategy): “Bitcoin is the ultimate inflation hedge, and institutional demand is just starting.”

However, some warn of short-term volatility:

• CryptoQuant notes that exchange reserves are rising, which could signal selling pressure near $88K.

Conclusion: Is Bitcoin Heading to $100K?

Bitcoin’s surge to $85.5K\ast \ast reflectsacombinationof\ast \ast politicaloptimism,macroeconomicshifts,andstronginstitutionaldemand\ast \ast .Withthe\ast \ast halvingapproaching\ast \ast andpotential\ast \ast Fedratecuts\ast \ast ,thepathto\ast \ast$100,000 seems increasingly plausible.

Key Takeaways:

✔ Bitcoin’s price is $85,500\ast \ast ,up5✔AweakerdollarandETFinflowsare\ast \ast fuelingtherally\ast \ast .✔Analystspredict\ast \ast$100K+ by 2025, but watch for resistance at $88K.

What’s Next?

• If Bitcoin breaks $88K\ast \ast ,thenexttargetis\ast \ast$95K.
• A pullback to $82K could offer a buying opportunity.

Will Bitcoin hit $100,000 this year? Only time will tell, but the current momentum suggests the bull run is far from over.

What do you think? Will Bitcoin reach $100K in 2024, or is a correction coming? Let us know in the comments! 🚀

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