Bitcoin Volatility Surges as Trump-Musk Feud Triggers Market Sell-Off
Bitcoin experienced a sharp decline, dropping from $102,530 to $100,372 within 24 hours, as a public feud between Elon Musk and Donald Trump unsettled cryptocurrency markets. The sell-off appeared largely speculative, driven by Musk's accusations of Trump's alleged misconduct and criticisms of his economic policies, rather than any fundamental market triggers. Market participants were particularly surprised by the downturn, especially after initial optimism following Trump's constructive meeting with China. The incident highlights the increasing sensitivity of crypto markets to high-profile public disputes and underscores the need for investors to remain vigilant amid such volatility.
Trump-Musk Feud Sparks Bitcoin Sell-Off Amid Market Turmoil
Bitcoin's price tumbled from $102,530 to $100,372 within 24 hours as a public clash between Elon Musk and Donald Trump rattled crypto markets. The sell-off appeared speculative, lacking fundamental triggers beyond Musk's accusations of Trump's alleged misconduct and economic policy criticisms.
Market participants were caught off guard, particularly after Trump's constructive China meeting initially buoyed sentiment. Musk's threats to liquidate BTC holdings and wage an anti-crypto campaign amplified fears, though no concrete evidence suggests such actions have commenced.
The volatility underscores crypto's sensitivity to macroeconomic narratives and billionaire influencers. Other major cryptocurrencies including ETH and SOL showed correlated movements, though BTC bore the brunt of the sell pressure.
Musk-Trump Spat Rattles Trump-Linked Assets, Including Bitcoin
Palantir Technologies (PLTR) led a broad selloff in Trump-affiliated assets after a public clash between Elon Musk and former President Donald Trump. The stock dropped nearly 8% amid broader market jitters, closing at $121.57 despite no company-specific catalysts.
Bitcoin (BTC) fell 2.5% as the dispute spilled into markets favored by those skeptical of traditional finance. The downturn affected multiple Trump-linked equities, with TRUMP Media & Technology Group (DJT) sliding over 8% and Geo Group (GEO) losing 2%.
The confrontation began with Trump accusing Musk of lobbying against EV tax credits during a press event. Musk retaliated on X, criticizing Trump's leadership style. Tesla (TSLA) shares accelerated their decline post-spat, ending the day down 14%.
Uber Revisits Crypto Payments, Eyes Stablecoins for Global Transactions
Uber CEO Dara Khosrowshahi signaled renewed interest in cryptocurrency adoption during the Bloomberg Tech conference, marking the company's third public exploration of digital asset payments since 2021. The ride-hailing giant is specifically evaluating stablecoins for operational use, citing their potential to streamline cross-border money movements for global enterprises.
"Stablecoins represent one of crypto's most practical implementations beyond mere value storage," Khosrowshahi remarked, drawing a deliberate contrast with more volatile assets like Bitcoin. The executive highlighted Uber's historical involvement with Meta's discontinued Diem stablecoin project as evidence of longstanding institutional interest in blockchain-based payments infrastructure.
The announcement follows a pattern of measured crypto engagement from Uber. While Khosrowshahi confirmed ongoing evaluation of payment integrations, he maintained the company's conservative treasury strategy: "We'll keep our cash safe," echoing previous statements from 2021 that ruled out corporate crypto holdings.
Trump Media Files SEC Registration for $2.3B Bitcoin Deal
Trump Media and Technology Group has taken a significant step toward solidifying its position in the cryptocurrency market by filing an S-3 registration statement with the SEC. The move paves the way for a $2.3 billion Bitcoin treasury deal, one of the largest such acquisitions by a public company.
Capital for the deal was raised through recent debt and equity agreements with approximately fifty investors. The funds will bolster the company's Bitcoin reserves and support general corporate operations, underscoring its commitment to expanding its footprint in the digital asset space.
Taiwan's BitoPro Replenishes $11M Lost in May Hack, Assures User Funds Unaffected
BitoPro, a Taiwan-based cryptocurrency exchange, confirmed a cyberattack on an old hot wallet during a system upgrade in May, resulting in losses exceeding $11 million. The breach, first identified by blockchain investigator ZachXBT, saw stolen funds laundered through decentralized exchanges and privacy protocols before reaching Wasabi Wallet, a bitcoin mixer.
The exchange acted swiftly to mitigate damage, moving assets to new wallets and blocking the attacker. "User assets remain completely unaffected," a spokesperson emphasized, noting all trading functions continue uninterrupted. BitoPro maintains ample reserves, with most assets stored offline in cold wallets for enhanced security.
Transparency measures include forthcoming publication of new hot wallet addresses. The exchange has engaged a third-party cybersecurity firm to investigate the incident, underscoring its commitment to safeguarding customer funds despite the setback.
Dark Web Ties Resurface as $31M Bitcoin Donation Traced to Alphabay
Blockchain investigators at Chainalysis have uncovered a $31 million Bitcoin donation to Silk Road founder Ross Ulbricht originating from wallets tied to defunct darknet marketplace Alphabay. The 300 BTC transfer earlier this month reveals enduring financial connections within the shadow economy.
Analysis suggests the funds likely came from a high-volume Alphabay vendor, highlighting how cryptocurrency continues to facilitate value transfer across generations of illicit online markets. The 2014-2017 Alphabay platform served as a spiritual successor to Ulbricht's pioneering Silk Road operation.
