Bitcoin Enters Reaccumulation Phase Amid Fed Easing Speculation and Trump's Tariff Policy Shift

By Francisco Rodrigues (All times ET unless specified otherwise) Following a brief downturn, Bitcoin and the broader cryptocurrency market experienced a recovery over the weekend, marking a temporary respite from the selling pressure that had been weighing on cryptocurrency prices after a significant $500 billion loss in value. In the past 24 hours, the price of Bitcoin increased by 3% to $110,770, despite being down about 4% for the month. This rebound occurred as global risk sentiment improved, with equities on the rise and investors shifting back to more volatile assets. The softer stance on tariffs adopted by U.S. President Donald Trump, coupled with indications that the Federal Reserve may ease its monetary policy later this year, contributed to the calming of the markets. The CoinDesk 20 (CD20) index saw a 4.3% increase over the past 24 hours, with all its members experiencing gains. According to Linh Tran, a markets analyst at XS.com, 'While Bitcoin has undergone a notable short-term correction, its long-term trajectory remains influenced by macroeconomic factors such as the Federal Reserve's monetary policy, the strength of the U.S. dollar, spot Bitcoin ETF flows, and geopolitical risks.' However, analysts at Coinbase Institutional cautioned that thin liquidity, a strong U.S. dollar, and uncertainty surrounding the Federal Reserve's rate path continue to impact market structure, suggesting that short-term momentum may not be indicative of a lasting trend. The recent spike in U.S. Treasury yields and geopolitical tensions, including Israel's retaliatory airstrikes in Gaza and Russia's advancements in Ukraine, have maintained a sense of caution among institutional investors. Despite this, corporate accumulation has continued, with data from Bitcoin Treasuries showing that entities have increased their holdings by 8.4% to 4.04 million BTC over the past 30 days. Furthermore, access to crypto exposure is expanding, with BlackRock and 21Shares introducing their crypto ETPs on the London Stock Exchange for retail investors. Tran added, 'In my view, Bitcoin is currently in a reaccumulation phase following its short-term correction, with market sentiment stabilizing and institutional demand remaining resilient.' Key Events to Watch: For a comprehensive list of events this week, refer to CoinDesk's 'Crypto Week Ahead'. Token Events: See CoinDesk's 'Crypto Week Ahead' for a more detailed list of events this week. Conferences: Visit CoinDesk's 'Crypto Week Ahead' for a comprehensive list of events this week. Token Talk by Oliver Knight Derivatives Positioning Market Movements Bitcoin Statistics Technical Analysis Crypto Equities Crypto Treasury Companies ETF Flows Spot BTC ETFs Spot ETH ETFs Source: Farside Investors While You Were Sleeping