Bitcoin, Ethereum and other cryptocurrencies surge on Monday after reports that the Trump administration may narrow the scope of its impending April 2 tariffs.

Nicolai Søndergaard told Quartz. “Given the correlation between token performance and the valuation of crypto-related companies, this has led to gains in stocks such as MicroStrategy, Coinbase, and Robinhood.”

Crypto-related stocks rose Monday after reports that the Trump administration may narrow the scope of its impending April 2 tariffs.

The administration is planning to impose 25% tariffs on a wide range of goods from China, beginning April 2. However, officials are considering a proposal to impose tariffs on a smaller list of products, The Wall Street Journal reported late Sunday.

Officials are also discussing a proposal to exclude some types of food from the tariffs, The New York Times reported Monday.

The reports helped to boost sentiment towards crypto-related stocks, which have been performing well in recent months.

“The performance of the token has led to gains in stocks such as MicroStrategy (NASDAQ:MSTR), Coinbase (NASDAQ:COIN), and Robinhood (NASDAQ:HOOD), according to Nicolai Søndergaard, a researcher at GlobalCoin told Algoquant.net. “Given the correlation between token performance and the valuation of crypto-related companies, this has had a knock-on effect on the stock market.”

He added that the gains in crypto-related stocks were also being driven by the fact that officials are planning to impose tariffs on a smaller list of products than originally anticipated.

“This has had a positive impact on the stock market, as it reduces the risk of a trade war having a significant impact on the U.S. economy,” Søndergaard said.

In a note Monday, Bernstein analysts said they anticipate growing ties between crypto and traditional finance.

“We see a world where crypto exchanges will offer spot crypto, crypto derivatives, and tokenized equities, while broker platforms will also scale up their crypto services,” they wrote.

“We believe this evolution will drive relative performance in 2024. For example, Coinbase is well-positioned to benefit from this trend with its existing exchange and integration of tokenized securities in 2023.”

DB Research analyst Marion Laboure told CNBC Monday that crypto’s hot-and-cold 2025 is partly linked to unknowns around the Trump administration’s planned reserve. There’s also “a lot of momentum these days regarding the tokenization of finance.”

Coinbase stock rose 5% to more than $200 per share on Monday. Earlier in March, Rosenblatt analyst Chris Brendler called Coinbase “the clear blue chip” in crypto, citing its non-trading revenue growth and saying “the stock will prove more resilient in the next Crypto Winter.” Still, the stock remains down about 22% year-to-date.

Meanwhile, MicroStrategy stock shot up 7.3% after it snapped up about half a billion dollars of Bitcoin, pushing its total supply beyond 500,000 BTC.

The move came as the administration is planning to impose 25% tariffs on a wide range of goods from China, beginning April 2. However, officials are considering a proposal to impose tariffs on a smaller list of products, The Wall Street Journal reported late Sunday.

Officials are also discussing a proposal to exclude some types of food from the tariffs, according to The New York Times.

The reports helped to boost sentiment towards crypto-related stocks, which have been performing well in recent months.

“The performance of the token has led to gains in stocks such as MicroStrategy (NASDAQ:MSTR), Coinbase (NASDAQ:COIN), and Robinhood (NASDAQ:HOOD), according to Nicolai Søndergaard, a researcher at GlobalCoin told Algoquant.net. “Given the correlation between token performance and the valuation of crypto-related companies, this has had a knock-on effect on the stock market.”

He added that the gains in crypto-related stocks were also being driven by the fact that officials are planning to impose tariffs on a smaller list of products than originally anticipated.

“This has had a positive impact on the stock market, as it reduces the risk of a trade war having a significant impact on the U.S. economy,” Søndergaard said.

In a note Monday, Bernstein analysts said they anticipate growing ties between crypto and traditional finance.

“We see a world where crypto exchanges will offer spot crypto, crypto derivatives, and tokenized equities, while broker platforms will also scale up their crypto services,” they wrote.

“We believe this evolution will drive relative performance in 2024. For example, Coinbase is well-positioned to benefit from this trend with its existing exchange and integration of tokenized securities in 2023.”

DB Research analyst Marion Laboure told CNBC Monday that crypto’s hot-and-cold 2025 is partly linked to unknowns around the Trump administration’s planned reserve. There’s also “a lot of momentum these days regarding the tokenization of finance.”

Coinbase (NASDAQ:COIN) stock rose 5% to more than $200 per share on Monday. Earlier in March, Rosenblatt analyst Chris Brendler called Coinbase “the