After the Federal Reserve announced a slowdown in tapering, Bitcoin rebounded from below $83,000 and briefly broke through $88,000. Some analysts believe that market volatility may soon subside and many negative factors may have been digested by the market. Sina G., co-founder of 21st Capital, stated that market uncertainties surrounding tariffs and government spending could be resolved in the coming weeks. The focus might shift towards tax cuts, deregulation, and interest rate cuts which could attract more capital into Bitcoin and digital assets.
Aurelie Barthere, Chief Research Analyst at Nansen also indicated that tariff-related uncertainty might be easing. The U.S government - particularly Treasury Secretary Bessent - has adopted a more pragmatic attitude in tariff negotiations.