Bitcoin Surges Past $88K as Political Uncertainty Drives Crypto Demand
Amidst U.S. political turmoil and traditional market sell-offs, Bitcoin has emerged as a bullish outlier, breaching $88,000 as investors seek alternative stores of value. This article explores the macroeconomic catalysts behind crypto’s latest rally and its implications for the digital asset landscape.
Bitcoin Price Breaks $88K Amid Political Drama
Bitcoin surpassed $88,000 on Tuesday, gaining over 1% as political tensions in the U.S. put pressure on traditional markets. President Trump called for interest rate cuts, blaming the Federal Reserve for risking an economic slowdown. This led to a sell-off in equities, with the Nasdaq dropping 2.5%, the S&P 500 losing 2.4%, and the Dow Jones Industrial Average plunging nearly 1,000 points. Meanwhile, the U.S. Dollar Index fell to a three-year low, reinforcing a shift towards alternative assets like Bitcoin. Strategy and Metaplanet were notable buyers, injecting $580M into the market.
Bitcoin’s Rise and Altcoin Season Uncertainty
The current market cycle may be differing from previous patterns, with Bitcoin holders unlikely to sell their positions to invest in altcoins. Bitcoin Dominance, a metric indicating Bitcoin’s market share compared to altcoins, has reached its highest level in over four years, standing at 64.5%. Many analysts predict a pullback in this metric, suggesting potential future growth for altcoins. However, the resistance level at this trendline is significant, historically posing challenges for Bitcoin Dominance to break through.
Bitcoin to Retain 80-85% of ETF Market Share
Analyst Eric Balchunas from Bloomberg predicts that Bitcoin ETFs will continue to dominate the market, retaining at least 80-85% share long-term. Despite the anticipated launch of altcoin ETFs, Bitcoin is expected to maintain its strong position. As of April 2025, BTC ETFs have $110 billion in assets under management, while ETH products control only 5% of the market share. Benjamin Cowen also expects BTC dominance to soar to 66%. Overall, Bitcoin is poised to retain a massive market share amongst institutions.
Trump vs. Powell: Dollar Slams, Gold Hits Record, Bitcoin Steady
Donald Trump labeled Federal Reserve Chair Jerome Powell ’Mr Too Late’ on Truth Social, demanding immediate rate cuts. The clash raised investor fears, sending the dollar and stocks tumbling while lifting gold to a record $3,500. Bitcoin, however, remained steady. Investors scrambled to find SAFE havens, exacerbating market jitters already heightened by US trade policies. The S&P 500 dropped 2.4%, and the Nasdaq cratered 2.6%. Trump’s actions reignited pressure on Powell just days after the Fed warned that the administration’s tariffs could increase inflation and slow growth.
Kiyosaki Predicts Bitcoin to $1M; DRML Miners Profit Explosively in 2025
Renowned author Robert Kiyosaki claims Bitcoin could reach $1 million due to global economic instability, inflation, and lack of trust in fiat currencies. He cites Bitcoin’s decentralized nature and limited supply as reasons for its potential to become a dominant store of value. Institutional adoption and interest from younger generations are seen as catalysts for this rise. Despite Bitcoin’s current trading price of $84,446.38, down 0.96% in the last day, Kiyosaki remains bullish on its future.
Bitcoin’s Journey and Current Trading Price
Bitcoin, the world’s largest cryptocurrency, has seen significant price fluctuations in recent months. It surged from a low of $49,121.24 to a peak of $109,114.88 earlier this year, capturing global attention. Despite support from several nations, BTC fell below the $100,000 mark due to market volatility. At the time of writing, Bitcoin is trading at $88,212.82, presenting an opportunity for investors to buy the dip and prepare for a potential reclaim of its all-time high.
