Bitcoin Eyes $95K as Global Markets Surge on Policy Easing Signals
Bitcoin surged to $94,205 on Tuesday, capping nearly 12% gains in under a week as traders navigated shifting signals from Washington on monetary policy and trade.
Markets Respond to Softer U.S. Tone
A wave of optimism swept across financial markets after the White House took a noticeably softer stance on both Federal Reserve policy and trade relations with China. President Trump made headlines with a tempered message, reaffirming that he has “no intention” of removing Fed Chair Jerome Powell— a marked shift from his earlier combative tone. While still pressing for looser monetary policy, the absence of personal attacks or threats of demotion came as a relief to investors.
Echoing this recalibration, Treasury Secretary Scott Bessent hinted at the possibility of easing trade tensions with Beijing. While acknowledging the challenges of ongoing talks, Bessent suggested a “near-term de-escalation” in tariff hostilities—marking the administration’s first public openness to scaling back trade barriers since the 2024 election.
Currently, U.S. tariffs on Chinese imports remain elevated at 145%, while China’s retaliatory duties stand at 125%. Pre-trade war levels hovered far lower, at 21% and 17%, respectively.
Traditional Markets Soar on Sentiment Shift
The tone shift ignited a broad-based rally in equities. The S&P 500 jumped 2.5%, the Dow added 2.6%, and the Nasdaq surged 2.7% on April 22—each posting their biggest single-day gains since the 2023 regional banking volatility. In total, over $1.8 trillion in global equity value was added in 24 hours.
Yet, behind the euphoria, questions remain about the sustainability of this rally, particularly with the IMF recently trimming its 2025 global growth outlook to 2.8%, citing unresolved trade frictions.
Bitcoin Climbs Without Crowd Frenzy
Interestingly, Bitcoin’s rally has unfolded with minimal correlation to traditional assets. Despite coinciding with this equity surge, its move above the critical $88,000 resistance level—now acting as support—has come on subdued trading volumes.
Low volatility is defining this latest leg higher. Daily realized volatility sits near 1.9%—uncharacteristically low for Bitcoin, which often sees rates north of 4%. That calm may appeal to leveraged traders seeking a stable entry, but such quiet spells in crypto are historically prone to abrupt volatility spikes.
Technically, momentum remains in Bitcoin’s favor. The daily moving average continues to trend upward, yet the lack of strong volume raises questions about the strength of buying conviction.
Cautious Optimism or Premature Celebration?
Despite the bullish backdrop, macro uncertainty still looms. The Fed’s March minutes hinted at a cautious hold on interest rates, even as Trump’s public comments renew pressure for easier policy.
Meanwhile, U.S. Treasury yields dipped and the Swiss franc surged to a 10-year high at 0.83 CHF/USD—a signal that some investors remain skeptical, seeking refuge amid long-term uncertainty.
Bitcoin’s slow decoupling from equities and commodities underscores its evolving role as a hedge during periods of policy ambiguity. Its recent gains may be less about investor enthusiasm and more about a search for monetary alternatives.
What’s Next?
The road ahead is dotted with potential catalysts. Any concrete announcement from the U.S. Trade Representative or Commerce Department on tariff rollback could further galvanize risk markets. At the same time, Powell’s balancing act at the Fed will be closely watched for signs of resistance to political influence.
Bitcoin hovers just below the psychologically significant $95,000 mark. A breakout above could signal continued momentum—if volume and conviction follow. But whether this crypto climb is built on firm foundations or fleeting rhetoric remains to be seen.
For now, Bitcoin finds itself at the intersection of macro re-pricing, strategic positioning, and technical poise. How long it can hold that line may depend on whether this week’s dovish pivot translates into durable policy action—or simply another twist in the narrative.