Bitcoin price tops $88.5K as BTC doubles down on stocks decoupling
Bitcoin (BTC) reached month-to-date highs above $88,000 amid escalating US trade war tensions, diverging from stock market trends. While Bitcoin gained, the S&P 500 and Nasdaq Composite Index fell over 2%. Trade war headlines included warnings from China and Japan about deteriorating US relations, alongside President Trump's criticism of Federal Reserve Chair Jerome Powell. Technology stocks, particularly Nvidia, experienced significant declines, contributing to market instability. The US dollar index (DXY) hit a 52-week low below 99, while Bitcoin and gold surged. QCP Capital noted a resurgence of Bitcoin as a safe haven asset, with institutional confidence appearing to return. Spot Bitcoin ETF flows turned positive with net inflows of $13.4 million, contrasting previous outflows. Options market positioning has also stabilized, indicating a shift in sentiment.
