Bitcoin (BTC) recently reclaimed the $94,000 mark amidst a positive macro shift related to U.S.-China and Trump-Fed tensions. The cryptocurrency market saw a surge, with Ethereum (ETH) gaining 10% and reaching close to $1,800. Other altcoins such as Solana and XRP also experienced gains, with both surpassing $150 and $2.2, respectively. The most significant rallies, however, were seen among mid-cap altcoins, with Sui (SUI) surging 25% and Avalanche (AVAX) rising by 12%.
Market analysts attribute the recent crypto rally to potential de-escalation in U.S.-China trade tensions and President Trump’s reversal on firing Fed chair Jerome Powell. Statements from U.S. Treasury Secretary Scott Bessent and Trump himself signaled a more positive outlook regarding the geopolitical and economic climate. These shifts have led to a sell-off of U.S. dollar-based assets and decoupling of BTC from U.S. stocks, resulting in a surge in BTC and other risk-on assets.
Institutional interest in BTC has also seen an uptick, with $936 million in daily inflows to U.S. spot BTC ETFs on Tuesday. BitMEX founder, Arthur Hayes, and Tracy Jin, COO of MEXC crypto exchange, both expressed optimism about the potential for BTC to reach new highs. Hayes projected a rally to $110,000 and $200,000, citing an increase in dollar liquidity, while Jin highlighted the possibility of BTC reaching $150,000–$200,000 before experiencing a decline in volatility. Both experts believe that the market is still open for entry at current levels.
Looking ahead, the impact of Paul Atkins’ leadership at the SEC on the 72 pending crypto ETFs remains a topic of interest in the crypto community. As the market continues to evolve, the regulatory landscape will play a crucial role in shaping the future of cryptocurrencies and related investment products. The recent positive macro shift and institutional interest in BTC indicate growing confidence in the asset class, paving the way for further price appreciation and mainstream adoption. Investors are advised to stay informed about regulatory developments and market trends to make informed decisions regarding their crypto investments.
