Bitcoin experienced a minor pullback today, reflecting broader market anxieties as investors brace for major tech earnings amidst persistent trade tariff concerns.
While traders hoped upcoming tech reports might lift sentiment, U.S. stock markets faced headwinds on multiple fronts on Monday, April 28. The Dow Jones declined 0.51% (205.96 points) to 39,907.54, the S&P 500 dropped 0.90% (49.57 points) to 5,474.25, and the Nasdaq Composite slid 1.31% (227.24 points) to 17,155.70.
Tech sector pressure was evident, with Nvidia falling 4.18% to $106.45 per share. This dip occurred as reports surfaced about Huawei releasing its Ascend 910D chip, designed to compete with Nvidia’s offerings, potentially disrupting the market further following U.S. restrictions on AI chip exports to China.
This widespread uncertainty extended to digital assets and traditional currencies. Bitcoin (BTC), despite a strong prior week, saw a slight correction, falling 0.37% to $93,741. Concurrently, the dollar index weakened by 0.44% to 99.03, while gold, often seen as a safe haven, edged up 0.10% to $3,336 per ounce.
Earnings Pressure Meets Macro Headwinds
The dominant market feeling is caution, driven by the potential fallout from Donald Trump’s tariff policies and the imminent earnings results from tech titans like Apple, Amazon, Meta, and Microsoft. See more on how macro fears rattle crypto markets.
Investors worry that current earnings forecasts might be overly optimistic, failing to account for macroeconomic challenges. Tariffs, particularly those targeting China, are increasingly cited as a source of economic strain, impacting global supply chains and corporate outlooks.
Adding to the unease, signals regarding the potential lifting of the steep 145% tariffs on Chinese goods remain mixed. Treasury Secretary Scott Bessent’s statement on April 28, indicating that trade war de-escalation depends on China, suggests the White House may not be ready for concessions, prolonging market instability which often influences Bitcoin’s performance amid tech stock tumbles.