Bitcoin Rises to $85K, Then Falls to $83K Ahead of President Trump’s “Liberation Day” Announcement

Bitcoin experienced significant price swings over the past 24 hours, soaring to a peak of $85,466 before dropping to $83,997 as traders reacted to speculation surrounding President Donald Trump’s upcoming “Liberation Day” tariff policy announcement. The surge, driven by investor optimism,was quickly followed by a wave of profit-taking, leading to a sharp pullback inprice.

Bitcoin Surges on Anticipation of Economic Policy Changes

The world’s largest cryptocurrency saw an early morning spike, reaching its highest point around 3:10 AM IST on April 2, 2025. The rally was fueled by growing expectations that President Trump’s “Liberation Day” announcement—scheduled for 1:30 AM IST on April 3—would introduce new tariff policies, potentially favoring U.S.-based industries and businesses.

The crypto market reacted positively, with many investors speculating that pro-business trade policies could encourage increased adoption of digital assets as a hedge against economic uncertainty. Trading volumes surged to $27.91 billion, reflecting heightened investor activity and market enthusiasm.

Profit-Taking Leads to Sharp Drop

However, as Bitcoin hit the $85K milestone, many early investors and institutional traders seized the opportunity to cash out their profits. The result was a rapid price correction, with BTC experiencing a 2% drop, settling at $83,997 by 11:45 AM IST.

The 24-hour trading volume jumped to $28.86 billion, indicating that significant capital flowed through the market during this period. Analysts believe that this was a classic “buy the rumor, sell the news” pattern—where traders accumulate assets ahead of a major event and then sell onceprices peak.

Traders Positioning Ahead of Trump’s Announcement

The market’s attention now turns to the actual details of the “Liberation Day” policy announcement. Investors are bracing for potential tariff adjustments that could impact global trade, especially with key economic players such as China, Europe, and South Korea.

While some analysts predict that favorable U.S. trade policies could further strengthen Bitcoin’s role as a financial hedge, others warn that heightened uncertainty in traditional markets may lead to increased volatility in crypto assets.

What’s Next for Bitcoin?

With BTC stabilizing around $83K-$84K, traders are expected to remain highly active leading up to the official tariff announcement at 1:30 AM IST on April 3.

🔹 Key factors to watch:

• Market reaction following the “Liberation Day” announcement

• Potential policy changes on international trade

• Bitcoin’s price movements in response to economic shifts

Given the high trading volumes and strong market sentiment, another wave of volatility is likely. If the upcoming policies signal economic instability, Bitcoin could see another rally as investors seek a safe-haven asset. On the other hand, if the announcement brings unexpected restrictions, the market could experience further corrections.

As the countdown to President Trump’s announcement continues, crypto traders remain on high alert, preparing for the next big move in Bitcoin’s price. 🚀📉

🔔 Stay tuned for real-time updates as the situation unfolds.