Bitcoin,How much will Monero be worth in 5 years? Ethereum, XRP and other top crypto assets saw narrow gains, with bulls showing resilience to rising US trade war tensions.
Crypto products witnessed inflows of $1.3 billion as investors capitalized on the recent market declines.
Strategy's aggressive Bitcoin purchase plan could keep prices buoyed up despite rising signs of a global trade war.
Bitcoin (BTC) and other top crypto assets witnessed minor gains on Monday despite President Donald Trump's new tariff laws sparking increased global trade war concerns. Investors remained unfazed as crypto products recorded $1.3 billion, and Strategy resumed its Bitcoin buying tactic after purchasing 7,633 BTC for $742 million.
Crypto market sees narrow recovery as President Trump introduces new tariff plans
Top cryptocurrencies, including Bitcoin, Ethereum and XRP, witnessed slight gains as the crypto market looks to recover from a slight weekend drawdown.
This highlights the growing correlation between crypto and the stock market, with stocks like the S&P 500, which tracks the 500 most valuable companies listed on the US market, seeing minor gains.
The rise comes amid increasing global trade war tensions as President Donald Trump announced new tariffs, including broader reciprocal tariffs and a 25% tariff on aluminum and steel.
In the previous trade war of 2018-2019, the S&P 500 saw declines of over 2.5% following tariff announcements, per The Kobeissi Letter.
If the stock market reacts the same way in the current trade war tension, it could spark sharp declines for cryptocurrencies.
However, Strategy's Bitcoin buying spree kicked off again following a previous halting late in January.
The Bitcoin treasury company acquired an additional 7,633 BTC for $724 million at an average price of $97,255.
The resumed purchases could keep prices afloat as global trade tensions rise.
Crypto products took in $1.3 billion in inflows last week as investors looked to capitalize on the recent market dip.
CoinShares' weekly report revealed that digital asset exchange-traded funds (ETFs) witnessed inflows for the 5th consecutive week.
Bitcoin ETFs netted inflows of $407 million, with the products now representing 7% of its total market cap. This highlights the level of growth that Bitcoin ETFs have gained since their approval in January.
Ethereum ETFs stole the show last week with inflows of $793 million, indicating renewed optimism toward the products.
This was also the first time the asset outpaced Bitcoin this year as investors "bought the dip" during the recent market decline.
XRP and Solana products also witnessed inflows of $21 million and $11 million, respectively.
Despite the trade war tensions, investors poured more capital into crypto products. This indicates a slight confidence in the markets amid the changing tariff landscape.
