Signal vs Noise: Analyst Categorizes Post-Crash ‘Crypto News’ by Market Impact Level

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Bitcoin’s sharp drop below $75,000 early Monday, triggered by fear surrounding new U.S. tariffs and potential economic fallout, has traders asking: what news actually matters for the next big market move? One analyst offers a framework sorting potential catalysts by impact level.

The initial crash resulted directly from FUD – Fear, Uncertainty, and Doubt – spreading as President Trump’s tariff policies began impacting global trade dynamics. Both crypto and mainstream stocks tumbled under fears of escalating trade tensions and potential recessionary pressures. Bitcoin currently trades near about $77,000k.

How Can Traders Gauge Upcoming News Impact?

An analyst’ viewpoint circulating on Telegram classifies potential news triggers into two distinct tiers, offering a way to gauge potential market reactions:

• “Big news items that could change everything”
• “Less impact news items”

This framework aims to help investors anticipate the magnitude of market volatility different headlines might generate.

Related: Cramer Warns of ’87-Style Black Monday Crash; But for Bitcoin Bulls This is the Biggest Buy Signal

What News Carries the Highest Volatility Risk?

According to this framework, the highest-impact news involves major geopolitical and monetary policy shifts:

• U.S.-China Developments: Any significant announcements regarding trade deals, high-level meetings, calls, or policy statements involving the two economic giants.
• Central Bank Actions: Emergency meetings by the U.S. Federal Reserve, unexpected news about Fed rate cuts, or potentially parallel emergency actions by China’s ruling Communist Party or central bank in response to current conditions.

News in these areas carries the weight to significantly alter market direction.

Which Headlines Might Have Less Market Sway?

Developments categorized as having potentially less impact on the overall market trajectory include:

• EU-U.S. Potential Deals: Progress reports or announcements concerning trade between these blocs.
• Specific Company Tariff Exclusions: News related to individual companies, such as Apple, potentially receiving exemptions from Trump’s tariffs.

While relevant to specific assets or sectors, these items are seen as less likely to cause broad, market-altering volatility compared to major U.S.-China or central bank news.

Related: The Unexpected Upside: Tariffs Depress Treasury Yields, Shine Light on Crypto

Using the Framework: What’s the Takeaway?

This classification helps traders filter noise and focus on potentially high-impact events. Monitoring developments concerning U.S.-China relations and central bank signals (both U.S. and Chinese) is crucial for anticipating significant market swings in the current climate.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

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