Analyst: The current price trend of Bitcoin has reproduced the situation after the launch of the American Bitcoin ETF

PANews reported on March 10th that CoinDesk analyst James Van Straten stated in an article that since President Trump's inauguration on January 20, the price of Bitcoin has fallen from $109,000 to $80,000. This is a typical "sell-on-news" event. The correction has continued since Friday's digital asset summit. Although the price trend may indicate short-term bearishness, Bitcoin bulls might see it as a long-term positive catalyst because the US government has shifted from its previous hostile attitude to a more friendly stance. However, lack of immediate buying pressure suggests possible weakness in the short term. Similar price trends occurred during the highly anticipated launch of the US spot Bitcoin ETF in January 2024. From October 2023 to January 2024, Bitcoin soared from $25,000 to $49,000 - an increase of over 40%. However, the launch of ETF marked a local high point as prices fell by 20% within subsequent weeks and eventually reached new highs above $73,000 in March.

This time around after Trump won the U.S presidential election in November; bitcoin rose by about 60%, reaching an all-time high at $109k USD before experiencing nearly a thirty percent pullback afterward. A common pattern between these two scenarios is that good news triggers local highs for bitcoin prices followed by significant corrections afterwards.The next variable will be whether or not bitcoin begins rising again after this correction ends which largely depends on macroeconomic conditions.