Bitcoin Rises Amidst Uncertainty as Institutional Investment Increases
Bitcoin’s price increased by 1.3% to $83,210.9, recovering from a loss in Q1 2025. President Trump’s impending tariffs have caused market uncertainty, though the Trump family is investing in Bitcoin. Analyst Zack Wainwright suggests Bitcoin may remain in an “acceleration phase,” while significant institutional investments persist despite fluctuation in the market.
Bitcoin, the leading cryptocurrency, experienced a modest recovery on April 1, 2025, rising 1.3% to $83,210.9 after a challenging first quarter where it lost 11%. This recovery follows a significant drop of nearly 25% from its peak in January, attributed to profit-taking amid uncertainties concerning President Trump’s impending tariff announcements.
On April 2, President Trump is expected to unveil new trade tariffs aimed at semiconductors, pharmaceuticals, and selected commodities, which has instilled caution among investors due to the vagueness surrounding these plans. Notably, a company led by Eric Trump and Donald Trump Jr. has acquired a 20% stake in American Bitcoin, contributing to the family’s growing investments in cryptocurrency.
The Trump family’s involvement in cryptocurrency expands to other ventures, including a decentralized finance project and a memecoin. Although President Trump has supported pro-crypto stances and appointed crypto-friendly officials, his policies have not noticeably bolstered Bitcoin prices.
Fidelity analyst Zack Wainwright proposes that Bitcoin may still be in an “acceleration phase,” characterized by high volatility and profits. He speculates that current price movements indicate a potential nearing of the cycle’s end, marking day 232 of this phase, where previous peaks were recorded between 244 and 280 days before corrections took place.
Despite these trials, institutional investment in Bitcoin persists, with prominent corporations continuing to acquire the cryptocurrency. Recent announcements include Strategy CEO Michael Saylor’s acquisition of 22,048 BTC for approximately $1.92 billion and Bitcoin miner MARA’s plan to raise $2 billion through stock sales for further investment in Bitcoin.
Additionally, some firms continue to seek exposure to Bitcoin regardless of market conditions, signaling positive expectations from institutional investors. Meanwhile, major altcoins like Ether and Cardano saw slight gains, while meme tokens exhibited mixed performance. Wainwright highlights the significance of monitoring the number of days within a 60-day period during which Bitcoin achieves new all-time highs, suggesting that a new milestone may emerge around $110,000.
In summary, Bitcoin has shown encouraging signs of recovery amidst market fluctuations and investor caution. The Trump family’s investment in cryptocurrency exemplifies growing institutional interest, despite President Trump’s tariffs adding uncertainty. Analyst opinions suggest that Bitcoin might continue into an acceleration phase, setting the stage for potential future gains. Overall, institutional buying behavior indicates a robust belief in Bitcoin’s long-term value, even as the market faces ongoing challenges.
Original Source: moneycheck.com
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