Bitcoin BTC/USD has tumbled below $88,000, levels not seen since mid-November 2024, as market sentiment reacts to Donald Trump's tariff announcement.

Trader Notes: Crypto chart analyst Ali Martinez warns that BTC is breaking below a parallel channel and could slide to $81,000 unless it reclaims $92,500.

Bluntz Capital notes that Bitcoin is at a key level, where a bounce is possible after both sides of the range have been tested. Failure to hold this level could result in a more severe drop.

Veteran trader DonAlt sees Bitcoin's price action as normal market behavior and suggests that the safest approach is to wait for a reclaim of $100,000 before making major moves.

Another veteran trader, Adam, says buying near $85,000 (200 EMA level) makes sense, but warns against blindly bidding at current levels. Structuring the trade is tricky since downside squeezes can go much deeper.

Also Read: Grok 3 Predicts Bitcoin Dominance In 2025, Projects $180,000 Price Target

What's Next: Crypto trader Nic sees Bitcoin is at a critical inflection point, with tariffs triggering a risk-off move that led to BTC liquidations surging to $632.7 million in the past 24 hours.

Coinglass data shows $602.1 million in long liquidations, the highest level since Dec. 5, 2024.

Nic also notes that institutional ETF buyers may have been unwinding cash-and-carry trades with CME futures, further pressuring BTC. He added that the hopes for a strategic reserve have faded, leaving Bitcoin without a clear bullish narrative.

While the trader predicts $70,000 as the next key support level, if the tariffs are reversed Bitcoin could see a relief rally back above prior support.

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