Bitcoin (BTC) Price Prediction & Analysis: Trump’s “Liberation Day” Boost? BTC Climbs Despite Tariff Talk

Bitcoin (BTC) Price Prediction & Analysis: Trump’s “Liberation Day” Boost? BTC Climbs Despite Tariff Talk

TLDR

• Bitcoin reached $85,000, up 2.1% in 24 hours
• Tether purchased 8,888 BTC in Q1 2025, now holds $7.8 billion worth
• Japanese firm Metaplanet added 696 BTC to its holdings
• Markets rallied ahead of Trump’s “Liberation Day” tariff announcement
• Short liquidations hit $25.19 million versus just $443,490 in long liquidations

Bitcoin has climbed above the $85,000 mark as major institutional players continue to accumulate the digital asset. The price movement comes as markets anticipate President Donald Trump’s upcoming tariff announcement, with some reports suggesting the measures may be less severe than initially feared.

On April 1, 2025, bitcoin was trading at $85,240.06, marking a 2.01% increase over the previous day. This represents a recovery despite being down 2.86% for the week. The cryptocurrency traded within a 24-hour range of $82,263.41 to $85,487.37.

Trading volume for the leading digital asset reached $27.45 billion, a slight increase of 0.37% over the previous day. This uptick in volume coincides with renewed buying interest from institutional investors.

Major Institutional Purchases

Stablecoin giant Tether made headlines by announcing it had purchased 8,888 BTC during the first quarter of 2025. This acquisition brings the company’s total bitcoin holdings to approximately $7.8 billion.

Not to be outdone, Japanese bitcoin treasury firm Metaplanet revealed it had bought an additional 696 BTC. This purchase increased the firm’s total bitcoin holdings to 4,046 BTC, according to an announcement posted on social media on April 1.

These institutional purchases demonstrate the growing corporate interest in bitcoin as a treasury asset. They also provide support for bitcoin’s price by removing supply from the market.

Liquidation data showed bears betting against bitcoin’s rise paid a heavy price. Over the past 24 hours, short liquidations reached $25.19 million, while long liquidations amounted to just $443,490.

Market Reaction to Tariff News

The positive price movement comes as risk assets attempt a recovery ahead of the Trump administration’s “Liberation Day” tariff announcement. The announcement is scheduled for Wednesday after U.S. trading hours close.

A report from NBC News suggested that blanket 20% tariffs across the board may be less likely to be implemented. Instead, a tiered system of different rates or country-by-country rates could be announced.

White House Press Secretary Karoline Leavitt acknowledged market concerns about tariffs during her daily briefing. She stated that there were legitimate worries about market swings related to the tariff discussions.

The mere suggestion of less severe tariffs appears to have buoyed investor sentiment. This shift in mood has benefited not only bitcoin but also other cryptocurrencies and tech stocks.

Ethereum (ETH), Dogecoin (DOGE), and Cardano (ADA) all posted gains of around 4-5%, roughly double bitcoin’s percentage increase. Crypto-related stocks also performed well, with miners Core Scientific and CleanSpark jumping almost 10% for the day.

Bitcoin’s market capitalization now stands at $1.69 trillion, up 2.22% from the previous day. Despite this growth, bitcoin’s market dominance dipped slightly to 62.37%, a minor decline of 0.09% over 24 hours.

Total bitcoin futures open interest reached $55.38 billion, showing a 3.03% increase. This indicates traders are maintaining leveraged positions ahead of key market developments.

Analysts suggest bitcoin could test resistance at current mid-$80K levels. However, strong institutional backing may help push the price toward the low $90K range in the coming weeks.

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