Dear reader,
This Week in Crypto: From Tariff Turmoil to Relief Rally
The week opened with global markets still reeling from the aftershocks of this month’s historic U.S.-China tariff escalation. After the U.S. imposed tariffs as high as 145% on Chinese imports and China retaliated with duties up to 125%, stock indices plunged into correction territory earlier in April, with the S&P 500 and Nasdaq each dropping over 10% from their highs and volatility spiking to levels not seen since 2020.
However, sentiment shifted midweek as both sides signaled a willingness to negotiate. President Trump stated that tariffs would “come down substantially” if a deal is reached, and China quietly rolled back some levies on U.S. semiconductors, hinting at a thaw. The Dow Jones rebounded 2.66% on Tuesday, the S&P 500 gained 2.51%, and the Nasdaq rose 2.71%, recouping much of the previous session’s losses. This rally was fueled by a combination of earnings optimism and hopes for de-escalation in trade tensions, though analysts warn that valuations remain vulnerable if tariff uncertainty persists.
The IMF cut its U.S. growth forecast to 1.8% for 2025, citing the drag from tariffs, while the European Central Bank continued its easing cycle, lowering rates for the seventh consecutive time to 2.25%—moves that collectively supported risk assets and injected fresh volatility into global markets.
Crypto Markets: Resilience and Rotation
Bitcoin & Majors:
Bitcoin staged a powerful rebound, rising from lows near $74,500 to trade above $84,000 by week’s end—a 14% recovery from its recent bottom.
The move comes despite a sharp correction earlier in April, when BTC fell 32% from it’s all-time high of $109,588. Resilient miner activity and growing institutional interest have underpinned the bounce, even as spot trading volumes on major exchanges declined 16% quarter-over-quarter.
Ethereum underperformed, slipping 5% on the week, while Solana surged 13%, reflecting continued rotation into high-beta altcoins.
Market Sentiment & Trends:
Bitcoin dominance hit a four-year high, signaling a flight to quality amid macro uncertainty.
Institutions remain cautious, but ongoing global monetary easing and the narrative of Bitcoin as “digital gold” have kept bullish expectations alive. Several countries are reportedly in talks to establish strategic Bitcoin reserves, further legitimizing BTC as a store of value.
Gold’s surge to a new all-time high of $3,358 on April 16 reinforced the safe-haven narrative, with Bitcoin increasingly viewed as a digital counterpart.
Altcoins & Meme Coins:
Solana and select meme coins (notably PEPE, up 10–15% on the week) outperformed as traders rotated into higher-risk assets.
Ethereum’s share in DeFi remains under scrutiny as competitors gain ground and as the ETH/BTC ratio continues to lag.
Crypto VC Funding Surge (Q1 2025):
Crypto venture capital funding reached its highest level since Q3 2022, signaling renewed investor confidence and robust activity in the sector.
This Week’s Headlines
ARK Invest Raises 2030 Bitcoin Price Target to as High as $2.4M in Bullish Scenario: Falling bitcoin exchange balances signal strong holder sentiment as bitcoin hovers around $94,000.
BlackRock’s Bitcoin ETF Will Be the World’s Biggest ETF in a Decade, Michael Saylor Says: U.S. Bitcoin ETF’s have brought in $2.8 billion in net inflows over the past five trading days.
Ljubljana Named World’s Most Crypto-Friendly City, Surpassing Hong Kong, Zurich, Singapore, and Abu Dhabi: Slovenia’s capital, Ljubljana, has been named the world’s most crypto-friendly city by migration consultancy firm Multipolitan
Coinbase seeks ‘payments revolution’ via PayPal link-up: “It pushes the entire stablecoin ecosystem forward,” said a Coinbase representative
Fed Joins OCC, FDIC in Withdrawing Crypto Warnings for U.S. Banks: Like the other U.S. bank agencies, the Fed has swept the decks of previous directives to bankers that they get sign-offs from the regulator for crypto activity.
Immutable teases ‘multibillion dollar’ collab that could be its game with Ubisoft: Immutable has been building a game with Ubisoft that was slated to unveil in April. It may be a TCG.
BlackRock’s Bitcoin ETF Sees $643 Million Inflows: BlackRock’s iShares Bitcoin Trust (IBIT) recorded its largest daily inflow since January, as bitcoin surges above $92,000 amid improving macro conditions and renewed institutional interest.
Jerome Powell has been good for bitcoin, and Trump says he won’t fire him.
Elon Musk: Tesla to Launch Robotaxi Service in Austin by June: Tesla plans to start rolling out its robotaxi service, and says it will begin manufacturing driverless “Cybercabs” in Texas next year.
Pump Fun co-founder Dylan Kerler linked to 2017 ICO scams.
Securitize Launches $400 Million Mantle Index Four Fund with BTC, ETH, SOL Exposure as Largest Tokenized Crypto Fund
Notable Deals and Fundraising
Theo Raises $20M to Bring Hedge Fund Strategies to Retail Crypto Traders: Theo plans to use the funds to build user-friendly infrastructure, automating complex trading strategies without the technical expertise.
Solana’s Early Backer, $2 Billion RockawayX, Launches New $125 Million Fund: With a focus on yield-generating projects, the new fund will target early-stage companies building on the Solana blockchain.
Cantor Equity Stock Surges 134% Ahead of Planned Merger for $3.9 Billion Bitcoin Company: Shares of Cantor Equity Partners have soared ahead of its planned merger to launch a new Bitcoin company called Twenty One.
Investment Firm RockawayX Gets $125M for Early-Stage Fund for Solana Projects: RockawayX has $125 million for a fund aimed at backing early-stage crypto projects on Solana, as the network’s user activity cools.
Solana-Powered Decentralized Wireless Network Helium Reveals AT&T Collab: Helium, the decentralized wireless network powered by Solana, is teaming up with AT&T to provide customers access to hotspots.
SoftBank, Tether, and Cantor Fitzgerald in Talks for $3B Bitcoin Treasury Vehicle: SoftBank, Tether, and Cantor Fitzgerald are in talks on a $3B public vehicle built around a bitcoin treasury strategy.
Planck Network secures $200 million investment commitment from Rollman Management Digital.
Singapore-based Bitdeer, a publicly listed Bitcoin mining chip manufacturer and data center firm, won $179 million in financing from loans and equity through its affiliate Matrixport.
Have a great week!
