Bitcoin Soars After EU Tariff Extension: Market Ready for New Bull Run?

14-06-2025
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Bitcoin (BTC) has shown signs of a strong recovery after US President Donald Trump agreed to extend the deadline for imposing 50% tariffs on EU goods until June 9. The move has given the digital asset market a breather and given BTC momentum to return to an uptrend.

Bitcoin Recovers Despite Tariff Shock

Over the weekend, Bitcoin experienced a nearly 4% drop, equivalent to more than $4,400 being “blown away” from its value, after news emerged that the US would impose heavy tariffs on the EU. However, Trump’s surprise decision on Sunday helped BTC quickly regain its recovery momentum.

According to analysts, the recent correction has helped reset short-term momentum indicators, paving the way for another rally. The current recovery also reflects the cryptocurrency market's ability to adapt quickly to geopolitical and global economic fluctuations.

Market Expects New Uptrend for BTC

On the short-term chart, BTC has returned to the ascending price channel. The strong support at $106,000 has held, helping the price bounce back quickly. It is worth noting that the “W” technical pattern has formed and successfully broken out between $106,000 and $109,000 - a positive technical signal that suggests that a breakout of the historical peak is entirely possible in the near future.

The stochastic RSI indicator on the 8-hour, 12-hour, and daily timeframes shows that BTC is still in a recovery cycle from the bottom. Although the indicator on the 4-hour frame has reached its peak, the overall trend still supports continued upside momentum.

$106,000 Price Structure Could Be a New Launch Pad

Looking at the longer time frame (6 days), the $106,000 price level is acting as a base in the new market structure. This area was previously the top of an 8-month long bull flag pattern and is now acting as a support bottom for the next leg up.

The MACD indicator supports the possibility of a breakout as the green histogram bars continue to expand and the MACD and signal lines still have some distance to reach the previous high.

However, to maintain the bullish momentum, the Stochastic RSI indicator needs to hold at the high for a long time. If the signal starts to cross down, this could be a sign of a short-term correction, taking BTC to retest the $106,000 support level once again before continuing its journey to set a new high.

Is Bitcoin Preparing for a New High?

With positive developments on the political-economic front and supportive technical indicators, Bitcoin seems to be on the verge of setting a new price record. The market’s stable response to shocks shows the maturity and growing confidence in this digital asset.

If the macro factors continue to be favorable, especially the agreement between the US and the EU on tariffs, the next growth phase of Bitcoin could well take the price above its all-time high – an important milestone that opens the next growth cycle in 2025.