Bitcoin Rebound May Be a "Buy Trap" as April 2 Looms Large

In Brief:

Analysts warn Bitcoin’s rebound lacks strong volume, showing signs of a bull trap.

April 2’s “Liberation Day” tariff announcement could act as the next major market catalyst.

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Bitcoin’s recent recovery to a two-week high may not be as bullish as it appears. According to analysts cited by ChainCatcher, the rebound is showing classic signs of a "buy trap"—a short-lived rally that lures investors in before a sharp reversal.

With trading volume shrinking and macroeconomic uncertainty still weighing heavily on markets, some experts believe Bitcoin is at risk of another pullback. Potential triggers include lingering inflation fears, escalating tariffs, and rising geopolitical tensions.

Augustine Fan, partner at crypto derivatives firm SignalPlus, said the next major move will likely hinge on what happens April 2:

“We expect the market's soft rebound to continue until the end of the month. The next important catalyst is the 'Liberation Day' tariff announcement.”

April 2 marks the expected announcement of a new round of U.S. tariff policies under the Trump administration. Market watchers believe the outcome could either reinforce investor confidence—or act as the spark for another round of selloffs across risk assets, including crypto.

Until then, the current environment remains marked by indecision and weak bullish conviction, leaving Bitcoin vulnerable to sharp swings on unexpected news.

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