Bitcoin price: After witnessing a brief period of profit-booking, Bitcoin is back to $94k price level. Easing trade war tensions coupled with robust ETF flows are the major reasons driving the rally. On Tuesday, the crypto coin was trading at $93,873 price level, experiencing a surge of more than 3.2% in the past 24 hours.
Spot Bitcoin ETFs witnessed massive inflows totalling $936 million as per data by coinmarketcap. This marks the biggest single-day surge in the influx of capital since January 17. Strong interest by institutional investors has brought the demand for cryptocurrency back on track. Other major cryptocurrencies like XRP and Solana also experienced a similar surge of 4.27% and over 5% respectively.
Ethereum followed suit and was trading around $1,796 price level, marking an increase of 6.5% in value in the last 24 hours. While the rise in broader crypto market cap might seem minor, the consistent inflows into spot ETFs in the last few days indicate strong investor confidence.
Trade war concerns ease
Recently, Trump hinted at a tariff cut on Chinese imports. "145% is very high, and it won't be that high...it won't be anywhere near that high. It'll come down substantially. But it won't be zero," Trump said.
Earlier, investor sentiment took a major hit as worries around prospective trade wars owing to the tariff play threatened macro stability. This made investors more risk-averse, eventually pushing up the demand for safe-haven assets, especially gold. The yellow metal has witnessed the sharpest surge this year, surpassing record $3,400 price level.
"We are going to be very nice, they are going to be very nice and we will see what happens. But ultimately, they have to make a deal because otherwise they are not going to be able to deal in the United States," Trump added while addressing reporters at the Oval Office.
