Bitcoin Surpasses $90,000 Again as Investors Turn to It Amidst Declining Dollar and Volatile Stock Market
Bitcoin reclaimed the $90,000 level for the first time since March as investors increased their interest in the cryptocurrency for a second consecutive day, amidst turbulence in the stock market. The price of Bitcoin rose more than 3% to reach $90,282.00, according to Coin Metrics, marking its highest point since March 7. On Monday, it experienced another 3% increase. Bitcoin is now about 21% above its April low.
The significant upward movement this week coincided with a sell-off in U.S. equities as former President Trump intensified his pressure on Federal Reserve Chair Jerome Powell, demanding the immediate lowering of rates while exploring the possibility of Powell’s dismissal before his term concludes in May 2026.
U.S. ETFs that track the price of spot Bitcoin recorded inflows of $381.4 million on Monday, marking their largest daily influx since January 30, when they saw $588.2 million. This also accounted for their fourth day of inflows in the past five trading sessions.
Earlier this month, the cryptocurrency was highly susceptible to the volatility fueled by stock tariffs, but it has begun to decouple from risk assets in recent weeks. Bitcoin has increased more than 9% in April, alongside a 9% gain in gold, while the S&P 500 has dropped 6% month-to-date. The U.S. dollar index has also declined by 5%.
“Bitcoin continues showing signs of resilience,” stated Ed Engel, an analyst at Compass Point, in a note on Tuesday. “Historically, Bitcoin’s correlation with equities approaches 1.0 during macro sell-offs; however, its 30-day correlation with the S&P is currently just 0.65.”
“While we’re optimistic about Bitcoin’s recent decoupling, the recent strength has occurred alongside light trading volumes,” he added. “This reduces our confidence that Bitcoin can break above the $93,000 resistance level without a significant catalyst, such as Fed easing or trade agreements. Nonetheless, long-term holders of Bitcoin remain committed, and purchasing from strategy is increasing as Bitcoin’s liquidity decreases. These factors could support further resilience amid volatility in equity and fixed income markets.”
According to chart analyst Katie Stockton of Fairlead Strategies, the $88,000 level presents a key resistance point for the cryptocurrency. If this level is surpassed, it would represent a positive near-term development for Bitcoin, with the next resistance target near $95,900, Stockton indicated.
