- Donald Trump’s tariff war has thrown financial assets into turmoil.
- Bitcoin has impressively maintained a value above $83,000, whereas gold has declined by 2.5%.
- “Truly surprised,” remarked Bloomberg ETF analyst James Seyffart.
As traditional financial assets face significant declines due to Donald Trump’s tariff measures, Bitcoin has managed to avoid a severe downturn.
In fact, the leading cryptocurrency has increased by 2% to $83,900 over the last 24 hours.
“I’m genuinely a bit taken aback by Bitcoin’s strength,” said Bloomberg ETF analyst James Seyffart on X. “I wouldn’t have anticipated it to stay above $80k amid this larger market selloff of risk assets.”
This unexpected price movement occurs as financial markets endure substantial losses.
The S&P 500, which measures the performance of 500 leading publicly listed American companies, fell by 5% on Friday, while the tech-focused Nasdaq experienced a similar decline. Tesla shares dropped 9%, and chipmaker Nvidia saw a 7% drop.
Even gold, typically viewed as a safe-haven asset, saw a decrease of 2.3%.
Market analysts speculated on what might be sustaining Bitcoin’s price: corporate purchases, which until recently had raised concerns.
“There’s a significant possibility that entities like Marathon, GameStop, and Strategy types are the ones supporting its price,” Seyffart commented.
On Tuesday, GameStop announced plans to accumulate a $1.5 billion stockpile following the Bitcoin strategy of Michael Saylor. His company, Strategy, revealed on March 31 that it had added $1.9 billion in Bitcoin to its balance sheet. Additionally, stablecoin issuer Tether acquired $735 million in Bitcoin during the first quarter.
On Thursday, most Bitcoin exchange-traded funds saw outflows, while BlackRock’s IBIT stood out with $65 million in inflows.
‘Decoupling’
Bitcoin enthusiasts are encouraged by the possibility that their view of the leading cryptocurrency as digital gold is gaining traction, at least to some extent.
Historically, Bitcoin has acted as a high-risk asset, fluctuating alongside tech stocks — both rising and falling with the broader market. However, that is not the case today.
According to crypto analyst Dennis Porteaux, this marks the first time Bitcoin has moved contrary to the 10 worst trading days for the S&P 500.
“This is the first time I’ve observed signs of true decoupling.”
While acknowledging this anomaly, crypto venture capitalist Chris Burniske remains watchful.
“Bitcoin outperforming the Nasdaq could result from Treasury bids, or it could signify something regarding its sensitivity as a macro asset,” Burniske noted.
Pedro Solimano is a markets correspondent based in Buenos Aires. Have a tip? Email him at psolimano@dlnews.com.
