Key Points
- Bitcoin and altcoins experienced a pullback as traders anticipate David Sacks’ press conference.
- The ongoing US-China trade war and its potential inflationary impact might be influencing the market.
Bitcoin and numerous altcoins experienced a decline on Tuesday, with traders eagerly awaiting the press conference of David Sacks.
Market Performance and Influencing Factors
Bitcoin (BTC) hovered around the $100,000 mark, while major altcoins like Ethereum (ETH), Cardano (ADA), and Ripple (XRP) didn’t see much movement. In contrast, smaller coins like Raydium, Official Melania Meme, Bittensor, and Aerodrome Finance performed exceptionally well.
The renewed trade tension between the U.S. and China, which could potentially lead to inflation, is likely influencing the market’s performance. The U.S. has imposed a 10% tariff on Chinese imports, and China has retaliated with its own tariffs and a probe into Google.
On a brighter note, there’s a possibility that the two nations might agree to halt these actions temporarily to make room for discussions. The U.S. has already put a pause on its tariffs on Mexico and Canada.
Anticipated Press Conference
The market is expected to react to a press conference by David Sacks, the AI and crypto czar, who will discuss the industry’s key priorities. His conference will also feature crypto-supportive legislators such as Tim Scott and John Boozman.
This conference is of high importance as President Trump has identified leadership in artificial intelligence and crypto as a key focus of his administration. Sacks is expected to outline the administration’s approach and potential priority areas, which could include criteria for approving crypto exchange-traded funds and simplifying regulations.
The press conference comes at a time when technical indicators suggest a strong bullish breakout. The weekly chart shows that Bitcoin formed a cup and handle pattern between November 2021 and October 2023. This pattern had a rounded bottom and a handle that developed between March and October 2024.
Bitcoin has also formed a bullish flag chart pattern, comprising a long vertical line followed by a flag-like consolidation. It has moved above the 50-week and 100-week moving averages, indicating potential strength.
As a result, Bitcoin is likely to rebound and move toward resistance at $123,000. This target is calculated by measuring the cup’s depth—about 77%—and applying the same distance from the cup’s upper boundary.
A bullish breakout in Bitcoin would likely drive gains in altcoins like Ethereum, Solana, and Cardano, as they have a close correlation with BTC.
