Bitcoin’s price has climbed to $87,600, the highest since April, primarily due to a weakening dollar and concerns over Federal Reserve leadership. The dollar’s decline follows President Trump’s tariff announcements, generating uncertainty in markets. This shift has also influenced gold prices, resulting in a record high as investors turn to perceived safe havens amid inflation fears.
Bitcoin has surged to $87,600, marking its highest value since April 2, following the announcement of tariffs by US President Donald Trump. Concurrently, the US dollar has plummeted, reaching its lowest point since January 2024, amid concerns over the potential dismissal of Federal Reserve Chairman Jerome Powell.
As reported by Bloomberg, Bitcoin saw an approximate 3% increase on Monday morning in Singapore, recovering nearly all losses incurred after Trump’s tariffs disrupted global markets. This resurgence in Bitcoin’s price aligns with a decrease in the dollar and US stock index futures.
Investor apprehension regarding the Federal Reserve’s independence has intensified following the President’s critiques. The dollar index declined steeply after comments from National Economic Council director Kevin Hassett regarding Trump’s consideration of Powell’s dismissal.
Additionally, Bitcoin’s rise coincided with a record increase in gold prices, underscoring investor interest in safe-haven assets amid inflation concerns and trade war anxiety. The ongoing weak dollar has been identified as a pivotal factor driving the current cryptocurrency surge according to Sean McNulty, head of derivatives trading for FalconX, who noted that decreased market liquidity is amplifying the movements in crypto prices.
