Bitcoin and Nasdaq 100 Index Decline Ahead of NVIDIA Earnings Report
Bitcoin has fallen below $95,000, while the Nasdaq 100 index continues its decline leading up to NVIDIA’s earnings report. The outcome of NVIDIA’s financial performance is particularly important, with analysts forecasting substantial revenue growth. Concurrently, proposed tariffs from Donald Trump have raised inflation concerns which could impact risk assets like Bitcoin. However, technical indicators hint at a possible rebound for Bitcoin in the near future.
Bitcoin price has recently experienced a notable decline, slipping below $95,000, while the Nasdaq 100 index has also fallen for the second consecutive day in anticipation of NVIDIA’s earnings report. Bitcoin is currently valued at $93,690, which marks a substantial 13.3% decrease from its peak this year. Similarly, the Nasdaq 100 index has seen a three-day downturn, hitting a low of 21,360, down 3.5% from its monthly high.
The upcoming earnings report from NVIDIA is poised to be a significant catalyst for both Bitcoin and U.S. stocks this week. Given NVIDIA’s considerable impact on the artificial intelligence sector, its results will provide valuable insights. As the second-largest company by market capitalization, valued at over $3.285 trillion, NVIDIA plays a crucial role within the Nasdaq 100 and the broader market.
NVIDIA’s prominence within the AI industry positions it as a pivotal force behind the stock market rally observed over the past two years. Any indications of a downturn in NVIDIA’s earnings could potentially trigger a major sell-off in both the equity and cryptocurrency markets, which often exhibit correlated movements. Analysts at Yahoo Finance predict that NVIDIA’s revenue will reach $38.15 billion, reflecting a remarkable 72% increase compared to the same quarter last year.
Additionally, concerns regarding proposed tariffs by former President Donald Trump have contributed to the retreat of both Bitcoin and the Nasdaq 100. Tariffs on steel and aluminum are set to commence on March 1, alongside a substantial 25% tariff on goods from Mexico and Canada unless negotiations yield a resolution. Such tariffs may exacerbate inflation, prompting the Federal Reserve to adopt a more hawkish approach, which tends to adversely affect risk assets like Bitcoin.
Technical analysis indicates a potential rebound for Bitcoin within the coming week. The daily chart reveals the formation of a falling wedge pattern, with converging trend lines suggesting an imminent bullish breakout. Furthermore, the MACD indicator shows the two lines nearing a bullish crossover, which has historically prefaced upward price movements. A successful breakout could see Bitcoin’s value rise towards the $100,000 mark in the near term.
In summary, the recent declines in Bitcoin and the Nasdaq 100 index coincide with heightened anticipation surrounding NVIDIA’s earnings report and external concerns such as tariffs proposed by Donald Trump. The potential implications of NVIDIA’s performance on the broader market cannot be overstated, as they may trigger significant sell-offs in correlated sectors. Technical analysis suggests that a rebound for Bitcoin is plausible, contingent upon market conditions.
Original Source: crypto.news
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