Bitcoin (BTC) Surpasses $80K Spot Amidst Rising U.S.-China Trade Tensions

The financial sphere, particularly the crypto market, has witnessed a considerable shift amid the rising trade-related tensions between the United States and China.

The financial sphere has seen a interesting shift amid the increasing trade-related tensions between the United States and China, especially in the crypto market.

While the U.S. dollar has dropped to a 3-year low, Bitcoin (BTC) price went over the $82,000 level amid the high inflation and economic uncertainty.

The dollar reached its lowest level in 3 years against a basket of foreign currencies on Friday, continuing its decline amid rising concerns about the U.S. economy and the potential for a recession.

The dollar index fell by 2.7%, which is a larger decline than anticipated. Economists polled by Dow Jones had predicted a smaller decrease of 1%.

This new statistic from the market showcases that dollar’s decline and the surging inflation have driven Bitcoin’s price to considerable heights.

Despite the trade tensions that the U.S. and China are facing, Bitcoin managed to exceed the $82K mark, as of Friday.

On the other hand, dollar’s reached its lowest price level in 3 years compared to foreign currencies. This new price point for dollar is lower than what analysts had expected.

Apart from the trading issues, another key factor leading to dollar’s decline is the de-dollarization narratives, which have been gaining momentum in recent months.

Additionally, a shift has been seen in investor confidence in the case of the U.S. dollar. This shift in confidence might be attributed to the varying economic outlooks across different institutions and investors.

Parallel to Bitcoin’s remarkable price rise, dollar’s price has dropped by 2.7%s which is well below when it comes to expectations.

This unexpected move in the market can be linked to the recent statements by the U.S. Federal Reserve officials. These officials had hinted at the possibility of further interest rate hikes in the upcoming months.

Such statements have led to a decline in risk appetite among investors, which in turn has affected the dollar’s price.

Furthermore, a shift in investor confidence towards other currencies, such as the Chinese yuan, can be observed. This shift is a consequence of the economic recovery that China has achieved in recent times.

The strong performance of the Chinese economy has increased the demand for yuan, while reducing the demand for dollar.

Gold Shows 181.76% Monthly Increase at $3,238.82

On the other hand, gold is also going through a notable price growth. Particularly, the 1st quarter of 2025 has recorded massive rise in gold’s price.

The recent data from the World Bank shows that the price of gold has experienced a significant surge in March, ultimately settling at $3,238.82.

This price level denotes a noteworthy 181.76% increase over the past 30 days.

The remarkable price increase in gold can be attributed to several factors. Firstly, the ongoing geopolitical tensions and economic uncertainty have encouraged investors to seek refuge in safe-haven assets, such as gold and Bitcoin.

As the global economy faces challenges, institutional investors are shifting their attention to less risky assets, leading to a surge in demand for gold.

However, it's important to note that the price of gold is known for its volatility. Despite the recent surge, the future trajectory of gold prices will depend on various economic indicators and market conditions.