TLDR
- Bitcoin rose 1.3% to $83,210.9, showing signs of recovery after losing 11% in Q1 2025
- BTC is down nearly 25% from January’s all-time high amid profit-taking and Trump’s tariff plans
- Trump family is investing in Bitcoin mining through a 20% stake in American Bitcoin
- Fidelity analyst suggests Bitcoin may still be in an “acceleration phase” with potential for another rally
- Major companies continue to accumulate Bitcoin despite market uncertainty
Bitcoin, the world’s largest cryptocurrency, showed signs of recovery on Tuesday, April 1, 2025, rising slightly to $83,210.9. This modest gain comes after a tough first quarter where the digital asset lost about 11% of its value.
The cryptocurrency market has faced strong headwinds in recent months. Bitcoin has dropped nearly 25% from its record high set in January. The decline came as investors took profits and reacted to uncertainty around President Trump’s trade policies.
President Trump is scheduled to announce new trade tariffs on April 2, a day he has called “liberation day.” These tariffs will target semiconductors, pharmaceuticals, and select commodities. The lack of details about these plans has made investors nervous.
Trump Family Expands Crypto Investments
A company run by Eric Trump and Donald Trump Jr. will merge with and take a 20% stake in American Bitcoin. This Bitcoin mining operation is mostly owned by miner Hut 8.
The deal adds to other crypto ventures backed by Trump recently. These include the decentralized finance project World Liberty Financial and the $TRUMP memecoin.
Trump has kept a pro-crypto stance since taking office. He has named several crypto-friendly candidates to key regulatory positions, especially in the Securities and Exchange Commission.
However, Trump’s crypto policies have not provided much support to prices. His plan to create a strategic reserve from existing government Bitcoin holdings did little to lift the market.
Market Analysis and Future Outlook
Fidelity analyst Zack Wainwright questions whether Bitcoin has seen its cyclical “blow off top” or if it’s on the verge of another “acceleration phase.” These phases are marked by “high volatility and high profit.”
Wainwright suggests Bitcoin is still in an acceleration phase but moving toward the end of the cycle. As of March 3, it was day 232 of this period. Previous peaks lasted between 244 and 280 days before corrections began.
Bitcoin’s price has stayed below $100,000 since February 21. Much of the momentum from the “Trump trade” has faded. It has been replaced by tariff-war worries and fears of a U.S. recession.
Despite these challenges, large companies continue to add Bitcoin to their holdings. Strategy CEO Michael Saylor announced on March 31 that his company acquired 22,048 BTC worth $1.92 billion.
On the same day, Bitcoin miner MARA revealed plans to sell up to $2 billion in stock to buy more BTC. Japanese firm Metaplanet issued bonds worth $13.3 million to purchase more Bitcoin.
GameStop made the biggest news in March. The company announced a $1.3 billion convertible notes offering, with some funds possibly going toward Bitcoin purchases.
These buying patterns show a price-agnostic approach to collecting BTC as a reserve asset. They highlight positive future price expectations among institutional investors.
Most major altcoins also rose on Tuesday. Ether increased by 1.8% to $1,841.74, while XRP rose 0.1% to $2.1035. Cardano gained 1.7%, while Solana remained flat.
Among meme tokens, $TRUMP fell 0.4% and stayed near record lows. Dogecoin added 2.5% to its value.
Wainwright says a key metric to watch is the number of days in a 60-day period when Bitcoin hits a new all-time high. He believes if a new record high is coming, it will start near $110,000.
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