Bitcoin surpassed $90,000, marking a recovery after earlier declines attributed to Trump’s criticisms of the Federal Reserve. This price jump coincided with gold hitting a new high and a stabilisation in U.S. equities. Optimism in the crypto market increased as American Bitcoin ETFs saw significant inflows, alongside price movements in Solana and Dogecoin.
On Tuesday, Bitcoin surged to over $90,000 for the first time in more than a month, with its price reaching $90,341, indicating a growth of more than 2% within a 24-hour timeframe. This rebound occurred amidst a rally in stocks and other risk assets, following significant declines earlier due to geopolitical uncertainties.
Bitcoin’s recent price performance reflects a recovery after significant downturns at the beginning of April, primarily influenced by President Trump’s new tariff policies. Additionally, as gold prices hit a new high, U.S. equities, bonds, and the dollar have stabilised post-Monday’s drops, contributing to Bitcoin’s resurgence.
Investor sentiment has turned optimistic following Trump’s critical remarks about Federal Reserve Chair Jerome Powell. Trump described Powell as a “major loser” and suggested that he should be dismissed for his reluctance to reduce interest rates swiftly. Despite the traditionally independent nature of the Fed, Trump’s comments may create conditions that are favourable for Bitcoin’s growth.
This week, a surge in crypto investments was evident with American Bitcoin ETFs attracting $381.3 million, marking their highest daily influx since January 30. Concurrently, Solana, the sixth largest cryptocurrency, increased by over 4% to trade at its highest value since March at $143.55.
Dogecoin, ranked eighth among cryptocurrencies, also saw a price increase, nearing $0.17; however, it remains below its peak values achieved in December and January. Overall, the cryptocurrency market appears to be benefiting from renewed investor confidence and adjustments in the broader economic context.
