Bitcoin (BTC) and other top cryptocurrencies saw slight gains on Monday, even as global trade war concerns intensified following President Donald Trump’s latest tariff policies.
Despite market uncertainty, crypto products saw $1.3 billion in inflows, and Strategy resumed its aggressive Bitcoin accumulation, purchasing 7,633 BTC for $742 million.
Crypto Market Recovers Amid Trade War Tensions
Leading cryptos, including Bitcoin, Ethereum, and XRP, edged higher after a weekend downturn, reflecting a growing correlation between digital assets and the stock market.
Meanwhile, U.S. stocks also posted minor gains, with the S&P 500—tracking America’s 500 biggest companies—bouncing back.
However, market analysts warn that previous trade war tensions in 2018-2019 led to a 2.5% drop in the S&P 500, per The Kobeissi Letter.
If the stock market follows a similar trajectory, crypto assets could experience heightened volatility.
Strategy Resumes Bitcoin Buying Spree
Despite macroeconomic concerns, Strategy (formerly MicroStrategy) resumed its Bitcoin buying spree, following a brief pause in late January.
- The company acquired 7,633 BTC for $742 million
- The average purchase price was $97,255 per BTC
- Total BTC holdings now exceed 478,000 BTC
This continued accumulation could help support Bitcoin’s price amid geopolitical uncertainty.
Crypto ETFs See $1.3 Billion in Weekly Inflows
Investor sentiment remained strong, with crypto ETFs attracting $1.3 billion in inflows last week, per CoinShares’ weekly report.
- Bitcoin ETFs: $407 million in inflows
- Ethereum ETFs: $793 million (outpacing Bitcoin for the first time this year)
- XRP and Solana ETFs: $21 million and $11 million, respectively
Ethereum’s strong ETF demand suggests renewed institutional confidence, particularly as investors “bought the dip” during the recent market correction.
Market Outlook: Will Trade Wars Impact Crypto?
Despite growing concerns over trade war fallout, crypto investors continue to allocate capital into digital assets, signaling confidence in Bitcoin and the broader market.
While economic uncertainty could lead to volatility, strong institutional demand through ETFs and corporate Bitcoin accumulation may provide long-term stability.
For now, all eyes remain on Trump’s trade policies and their potential impact on traditional markets—and Bitcoin’s response in the coming weeks.