Yigit Taha OZTURK 
Bitcoin is set for a bearish close to March, marking its weakest Q1 performance since 2018. Investor anxiety over US President Donald Trump‘s new 25% auto import tariffs and potential pharmaceutical industry tariffs have negatively impacted BTC’s price, as traders prepare for “Liberation Day” on April 2.
Stock futures in the US turned red ahead of the announcement, with DOW futures dropping 206 points and S&P 500 futures down 0.56%. This led Bitcoin to slip to $81,656, recording its 7th consecutive day of losses. Meanwhile, the S&P 500 is down 6.3%, the Nasdaq fell 8.1%, and the DOW lost 5.2% in March.
Reasons Behind Bitcoin’s Decline
A weak demand in spot markets and a clear derisking approach by investors avoiding fresh positions in BTC futures markets contributed to the downward momentum. Last week’s core Personal Consumption Expenditures (PCE) data revealed a higher-than-expected inflation rise, and the Conference Board’s consumer confidence index hit a 12-year low.
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Goldman Sachs raised the 12-month recession probability from 20% to 35%, citing weak household and business confidence and a greater tolerance from White House officials for near-term economic weakness.
Is There a Silver Lining for Bitcoin?
Despite the bearish sentiment, institutional investors continue buying Bitcoin, with spot ETF inflows remaining positive.
On March 30, MicroStrategy CEO Michael Saylor reinforced his bullish stance by posting his famous Bitcoin orange dots chart, stating, “Needs even more Orange.”
Data from CryptoQuant also shows Bitcoin inflows to accumulation addresses rising throughout the month.
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