During Monday trading, the cryptocurrency market was abuzz, with a bullish Bitcoin racing past the $93,500 mark for the first time in 45 days. The broader digital asset market responded positively, bringing the market capitalization to around $2.91 trillion.
According to onchain data from analytics firm CryptoQuant, a bullish Bitcoin continued to rally in the backdrop of the US China tariff war that has weakened the US dollar index and other existing macroeconomic conditions.
Sharp Upward Move by a Bullish Bitcoin
Renewed investor optimism and fresh hopes that the US-China tariff war would somehow ease saw the flagship cryptocurrency surge 7% in 24 hours to trade at 93,697.52 at 10:30 AM on April 23, 2025. They hit $93,847.25 after trading at $87,972.21 only 24 hours before. According to the analyst report, the trading volume for Bitcoin stood at $56.02 billion, according to CoinMarketCap.
According to Riya Sehgal, research analyst at Delta Exchange, the sharp upward move by a bullish Bitcoin was not simply the result of technical momentum. Still, it was driven by emerging macroeconomic signals and a renewed institutional interest. Sehgal said:
“The recent $381 million in net inflows across US spot Bitcoin ETFs, the highest single-day total since late January, speaks volumes about the shift in sentiment among long-term investors. With long-term holders steadily accumulating and technical indicators showing strength above key support levels, the stage may be set for Bitcoin to make a decisive push toward the $100,000 milestone.”
De-Escalation of the US-China Tariff War
Additionally, geopolitical developments could have also played a role in reigniting investor confidence, such as the remarks from US Treasury Scott Bessent suggesting that Trump was considering a de-escalation of the US-China tariff war. This could have also improved the existing risk environment and lifted both traditional equities and digital assets.
Reports indicating that at least $581 million was liquidated short positions show how swiftly the market is rebalancing in response to this optimism. Apart from the seemingly bullish Bitcoin, the stock market also recovered from the previous day’s decline, with the S&P 500 and NASDAQ gaining 2.5% and 2.7%, respectively. Conversely, gold broke ranks with Bitcoin and rose 1% to trade at $3,500 during the day.
To Accumulate Bitcoin below $100K
An analyst at hedge fund QCP Capital said in a Telegram broadcast:
“As capital rotates into safe-haven and inflation-hedging assets, BTC and gold are proving to be key beneficiaries of the exodus from USD risk.”
According to Himanshu Maradiya, founder and chairman of CIFDAQ Group, the swearing-in of the SEC Chair must have also played a role in creating a bullish Bitcoin. He said:
“Adding to the bullish sentiment is the appointment of Paul Atkins as SEC Chairman. His return signals a shift toward a more constructive regulatory approach, with several enforcement actions already rolled back under his leadership […] with resistance expected around the $90K–$94K range, investors may be looking at the ‘last chance’ to accumulate Bitcoin below $100K.”
Conclusion
The fresh surge from a bullish Bitcoin highlights the growing resilience of the flagship cryptocurrency, which is riding on several favorable macroeconomic conditions for crypto assets. Analysts believe the increased inflows towards the spot U.S.-listed BTC ETFs and the return of the so-called Coinbase price premium signal a growing demand from American institutional investors.
Frequently Asked Questions
What is the reason for Bitcoin’s rise?
Analysts believe the latest spike is due to a combination of factors, including the US-China tariff war and the weakening US dollar.
What caused the Bitcoin spike today?
Bitcoin’s rally is closely tied to the weakening US dollar and President Donald Trump’s public criticism of Federal Reserve Chair Jerome Powell, urging immediate interest rate cuts.
What increases the demand for Bitcoin?
The limited supply ensures that Bitcoin’s scarcity can increase prices as demand increases. Moreover, increased institutional interest often leads to greater demand.
Appendix: Glossary to Key Terms
Bitcoin Rally: A rally is when prices sustain an upward trajectory.
Onchain data: Information about blockchain transactions and activity that is directly recorded and permanently stored on the blockchain.
Crypto short positions: A trading strategy used to profit by borrowing cryptocurrencies from an online broker, selling them at a higher price, and repurchasing them at a lower price.
Reference
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