Bitcoin fell below $66,000 as broader risk appetite weakened across global markets. The report links the move to Donald Trump’s comments on the Middle East conflict, energy export disruptions, and the closure of critical shipping lanes, which cooled hopes that regional tensions were nearing an end.
Oil surge adds pressure across markets
Higher energy prices fed a wider selloff in risk assets. U.S. equities and bonds both moved lower, while Nasdaq 100 futures were down 2% shortly before the opening bell, led by declines in major technology and semiconductor names. Trump’s pledge to take tougher action against Iran helped push Brent crude above $109 a barrel. In Europe, the reaction spread quickly, with diesel futures reaching $200 a barrel as supply disruption fears intensified.
Investors were described as shifting toward defensive positioning on expectations that elevated oil prices could last and keep monetary conditions tight. The U.S. dollar climbed to a weekly high. Gold, by contrast, ended a four-day rally, a sign that portfolios were being reshuffled as inflation concerns stayed in focus.
Employment data becomes the next macro test
Wednesday brought little in the way of major economic releases, leaving traders focused on Thursday’s U.S. jobs data. The article notes that last month’s ADP payroll figures came in above expectations and earlier data was revised higher, which left crypto bulls cautious rather than optimistic. In that setup, short selling was described as the easier trade for now, though the market’s volatility still argues for restraint.
The report says markets are increasingly pricing in the possibility of more rate hikes, a backdrop that can intensify selling pressure on cryptocurrencies and other risk assets. Rising shipping costs were also highlighted as a factor that could lift food and commodity inflation, keeping macro pressure firmly in place.
Analysts watch $62,700 and $59,822 on the downside
If Bitcoin stays on its current path, analysts cited in the piece expect a test of $62,700. If that support gives way, the next level mentioned is $59,822, where buyers may begin to step in. A faster drop toward a local bottom could also increase speculation around a move to the $53,000 area.
The article also points to early signs that April could bring another wave of notable liquidations in crypto. With macro data still pending and geopolitical risks unresolved, many traders are holding back from large positions and waiting for clearer direction.