Bitcoin Dips After Tariff News, But Institutional Buyers Step In

The cryptocurrency market faced a sharp decline after President Donald Trump announced new tariffs, triggering a sell-off that wiped out around $509 million in value.

Bitcoin took a hit, plunging to $82,352 as traders struggled to maintain the $83,000 support level. A brief bounce to $88,000 offered a glimmer of hope before the price slipped again, reflecting the uncertainty hanging over the market.

Other cryptocurrencies followed suit, with Ethereum dropping more than 6% and Solana declining by 6.6%. Although Bitcoin showed signs of stabilizing around $82,000, the ongoing selling pressure kept investors on edge. While some panicked, others took the downturn as a chance to make strategic moves.

Institutional players seemed largely unfazed by the turbulence. Bitcoin ETFs, which initially showed sluggish inflows, made a surprising comeback as big investors took advantage of the dip. Notably, Fidelity’s FBTC and Ark Invest’s ARK saw significant inflows of $119 million and $130 million, respectively, while BlackRock’s IBIT faced $116 million in outflows. This mixed response highlights a divide between cautious and bullish perspectives among institutional investors.

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Despite the market’s volatility, large-scale buyers continued accumulating Bitcoin. Prominent companies, including those led by Michael Saylor and Japan’s Metaplanet, have been steadily boosting their holdings, signaling long-term confidence in the asset. Recent data shows that eight companies collectively acquired over 26,000 BTC last week alone, reinforcing Bitcoin’s growing appeal as a strategic investment.

The price swings did not dampen trading activity. On the contrary, Bitcoin’s trading volume surged by 85%, reaching $54 billion, as market participants took advantage of the fluctuations. Currently, Bitcoin is priced at around $83,394, maintaining a market cap of $1.65 trillion.

Analysts are now focusing on whether Bitcoin can break through resistance at $86,900 or if it might face further declines. The situation remains fluid, but the steady accumulation by major investors suggests they view Bitcoin’s long-term prospects positively despite short-term challenges.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.