From Yahoo Finance: 2025-04-03 13:00:00

Economic Headwinds: The U.S. economy faces challenges with new tariffs, rising inflation, and slowing growth. Recession risks are on the rise, according to Goldman Sachs and Federal Reserve officials. Uncertainty looms, with expectations of slower growth ahead.

Inflation and Interest Rate Adjustments: Inflation above 2% may reach 3.5% by 2025, leading the Fed to consider three interest rate cuts to support the economy. Questions remain on whether these cuts will counter broader economic challenges, as concerns grow about future financial stability.

Trade Policy Uncertainty: Trump’s proposed tariffs could disrupt global markets and hinder economic growth. While exclusions may lessen the impact, businesses and consumers brace for prolonged trade tensions and potential consequences on economic stability.

Bitcoin’s Role in a Shifting Economy: Bitcoin’s value has dropped 25% from its peak alongside a 10% S&P 500 decline. Amid market volatility, Bitcoin is becoming a trusted currency in trade, recently used by Russia in oil transactions with China and expected to be adopted by more nations.

Key Levels to Watch: Bitcoin faces downside pressure despite bullish factors, including ETF inflows vs. outflows decreasing. Monitoring key levels like the U.S. election low and 50% retracement is crucial. Bitcoin’s relative strength compared to the stock market indicates potential for higher prices if key levels are sustained.

Read more: Key Levels to Watch Amid Tariff Pressures