Bitcoin and the broader cryptocurrency market experienced a downturn following a weekend rally fueled by tariff-induced uncertainty. By the end of the U.S. trading session, Bitcoin's value had dropped by 4.8% over the past 24 hours, settling at $96,900, after briefly reaching $101,000 earlier.
The altcoin market faced even steeper declines. Solana, XRP, Cardano, and Chainlink fell between 6% and 10%, while Ether decreased by 5.3%.
This late-day decline seemed to coincide with a press conference held by David Sacks, the White House's crypto and AI adviser, alongside key Senate and House committee leaders. Expectations for a discussion on a strategic bitcoin reserve were unmet, as the focus was predominantly on regulatory issues.
Bitcoin was briefly mentioned when Sacks addressed the White House's feasibility study on a strategic bitcoin reserve. In response to inquiries about a recent executive order concerning the creation of a sovereign wealth fund, Sacks indicated that this topic should be directed to Commerce Secretary nominee Howard Lutnick and Treasury Secretary Scott Bessent, who will lead the sovereign wealth fund initiative.
Looking ahead, Bitcoin may be poised to test its recent low below the $92,000 range, depending on future market developments. Investors are eyeing the U.S. January employment report due on Friday.
A weaker employment figure could prompt expectations of Federal Reserve rate cuts, potentially boosting Bitcoin's value. Conversely, a strong job report might lead to renewed speculation about a rate hike, posing a challenge for Bitcoin prices.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.