The Tariffs Were Not Delayed, Yet Bitcoin Still Soared! Are Funds Frantically Buying the Dip?

TradingKey – "90-day tariff delay" turns out to be fake news, but Bitcoin's rebound continues as market sentiment turns bullish.  

On Monday evening, rumors of a "90-day tariff delay" circulated across the market, prompting Bitcoin (BTC)  to surge past $81,000 and briefly peak at $81,243. Shortly afterward, U.S. authorities confirmed the news was false, leading Bitcoin to pull back to $77,000. However, it resumed its upward trend this morning, suggesting that investors remain optimistic about the broader market outlook.  

Bitcoin Price Chart, Source: CoinMarketCap.

Although the U.S. ultimately did not delay tariffs, Bitcoin’s recent decline has already priced in this negative development. On April 2, U.S. President Trump announced reciprocal tariffs, causing Bitcoin to fail in its  attempted breakout and steadily decline from its recent high of $88,500. By yesterday, it had fallen to a low of approximately $74,600, marking a cumulative drop of over 15%.  

Recently, the broader cryptocurrency market has been in a downtrend, prompting capital  to rotate out of ETH and altcoins into BTC, pushing Bitcoin’s market dominance higher. This shift has driven Bitcoin’s market dominance to 62%,  its highest level since 2021. In the coming days, Bitcoin may continue its rebound by "sucking liquidity" from other tokens.  

BTC, ETH, and Altcoin Market Dominance, Source: CoinMarketCap.