Bitcoin Price Prediction – Why BTC Could Soon Drop to $74k

Highlights:

• Bitcoin is currently range-bound between $83,616 and $78,569
• Rising trade tensions could trigger a breakout as investors avoid risky assets
• Bitcoin correction through $78,569 could see Bitcoin drop to $74k

Bitcoin (BTC) has changed a little in the day as the market tries to find direction. This is in light of an increasingly turbulent global market, where tariff fears drive sentiment. At the time of going to press, Bitcoin was trading at $82,621, down by 0.44% in the day. Trading volumes are down by 19% to stand at $29.09 billion. 

This could indicate that most investors are still waiting on the sidelines out of fear of what is happening in the broader market. Looking ahead, there is more that could push Bitcoin lower than there is that could push it higher in the short term. 

Trump’s 200% EU Tariffs Threat Could Push BTC Lower

One factor that could drive the market lower is Trump’s continued threat of tariffs on various countries. Yesterday, President Donald Trump threatened to impose 200% tariffs on French champagne and other alcoholic drinks from the European Union.

JUST IN: Trump threatens to put 200% tariff on French Champagne and other EU spirits https://t.co/Ktr811owrX

— NBC New York (@NBCNewYork) March 13, 2025

This comes after the EU announced that it was pushing for countermeasures to Trump’s earlier tariffs. Such moves point to the fact that the ongoing trade war is only getting started. It could fear the markets and push money further away from high-risk assets such as Bitcoin and other cryptocurrencies.

Longevity of Bitcoin Reserve Comes Into Question

There are also fears that the US strategic reserve may not last, at least if Democrats regain control. Yesterday, a Democratic lawmaker urged Congress to abolish it. 

House Representative Gerald Connolly says the Reserve does not benefit US citizens. While this may not have much impact in a Republican-dominated house, it points to the fact that the Reserve may not have a long-term future. It could hint that Democrats could throw it out if they regain power in 4-years. This, when the market already seems indifferent to the Reserve news, could be bearish for Bitcoin. 

According to PandoraTech News,

Gerald Connolly, a senior Democrat on the House Oversight and Reform Committee, has sent a letter to the U.S. Treasury Department, demanding the immediate suspension of Donald Trump’s proposed national Bitcoin reserve plan. Connolly alleges the… pic.twitter.com/YJX3ijIrjC

— PandoraTech (@impandoratech) March 14, 2025

Case for Rebound – Bitcoin Adoption for Payments on the Rise

Some factors could support Bitcoin’s price despite the ongoing negative sentiment. One of them is that Bitcoin adoption is growing and that the overall utility of cryptocurrencies is on the rise. Another is Russian companies’ rising adoption of Bitcoin, Ethereum, and stablecoins. 

Data indicates that Russian companies increasingly use Bitcoin for oil trade with Chinese and Indian companies. This shows that these companies generally have more faith in Bitcoin and cryptocurrencies than fiat currencies. Such adoption could increase Bitcoin’s price as investors understand real-world adoption is happening.

US Likely to Buy as Much Bitcoin as Possible Under Trump

There is also news that the Trump administration is keen on buying as much Bitcoin as possible. During a Bitcoin Policy Institute round table on Tuesday, March 12, a White House official stated that the United States was keen on accumulating as much as possible. This is a big deal as it could drive the demand for Bitcoin, primarily due to Bitcoin’s scarcity.

BREAKING:

🇺🇸 TRUMP’S WHITE HOUSE JUST
SAID THEY WANTS TO BUY AS
MUCH BITCOIN AS POSSIBLE.

THIS IS ULTRA BULLISH 🔥 pic.twitter.com/weYdgei4hS

— Ash Crypto (@Ashcryptoreal) March 13, 2025

Technical Analysis – BTC Consolidating After Selloff

After the sustained price correction recently, Bitcoin is consolidating after hitting the $78,569 support. It is now consolidating between the $78,569 support and $83,616 resistance. If Bitcoin bulls regain control and push the price through the $83,616 resistance, a rally to $88,000 could follow. 

On the other hand, if Bitcoin bears regain control, the key level to watch would be the $78,569 support. A rally through this support could see Bitcoin drop to prices as low as $74,000 in the short term. The macro-environment will likely determine the direction in which BTC breaks out in this scenario. If the tariff war gets more intense, a break to $74,000 could follow.