Digital coins and tokens are starting to rebound Tuesday after getting hit hard by the twists and turns of President Trump’s foreign policy alongside continued inflation fears.
Major coins like Bitcoin, XRP, and Solana are now in the green over the past 24 hours, with Bitcoin’s price now up nearly 5% in that span, according to CoinGecko. It’s trading for $83,119 per coin as of this writing.
The biggest coin by market cap plunged below $77,000 on Monday on fears of a possible U.S. recession, falling sharply alongside U.S. tech stocks and other cryptocurrencies. Ethereum and Solana both hit their lowest prices in more than a year on Monday, as well, with crypto futures liquidations stopping $700 million.
Bitcoin still has a long way to go before it beats its January all-time high of nearly $109,000, though. It’s down by nearly 24% since setting that latest milestone.
Elsewhere, XRP is up 6% over the past day, and is trading hands for $2.20; Solana’s price has rebounded further, by 6.5%, and is now trading over $127.
Most of the top 20 coins and tokens by market cap are also in the green, albeit by single digits. Broadly, the crypto market is up more than 2% over the past day.
What’s fueling the rebound? Mark Connors, chief investment strategist at Risk Dimensions, a New York-based Bitcoin investment advisory, told Decrypt that the reasons behind Tuesday’s upturn are difficult to pin down.
“I’m surprised,” he said. “This caught Bitcoiners by surprise. We thought the downward pressure on markets with the macroeconomic [conditions] would keep Bitcoin down—uncertainty about tariffs, which would reduce investment.”
He added: “There’s something we’re not seeing, whether it be the Texas strategic reserve that is apparently only a penstroke away from being enacted, or the $21 billion initiative by Strategy or the legislation being put forth by Cynthia Lummis or the GENIUS Act.”
The S&P 500, Nasdaq, and Dow all finished the day slightly down, but reversed bigger dips from earlier in the day.
Bitcoin and other top cryptocurrencies have been trading like U.S. stocks of late. Both the stock and crypto markets are considered “risk-on” assets by traders, and have been sensitive to President Trump’s erratic announcements on tariffs.
Edited by Andrew Hayward