Bitcoin Extended Gains Near Four-Month High Amid Macro and Trade Optimism

Bitcoin extended its rally on Monday, climbing 1.4% to $104,815 by 22:51 ET (02:51 GMT), just shy of its all-time peak of $109,228. The token's surge—its highest level since late January 2025—was underpinned by easing U.S.-China trade tensions, dovish macro data, and alternative-asset flows triggered by Moody's downgrade of the U.S. sovereign credit rating.

What's Driving Bitcoin's Strength

• Trade-Tension Relief: Early signs of de-escalation in U.S.-China tariffs have lifted risk appetite in markets globally, steering some capital into high-beta assets like Bitcoin.

• Dovish Fed Outlook: Softer-than-expected U.S. inflation prints bolstered bets on Federal Reserve rate cuts later this year, weakening the dollar and enhancing Bitcoin's dollar-hedge appeal.

• Credit-Rating Shock: Moody's unprecedented cut of the U.S. Aaa rating added to demand for non-sovereign stores of value.

Institutional Flows and Market Structure

• Major Accumulations: MicroStrategy (MSTR) added 13,390 BTC (≈$1.34 billion) to its treasury, underscoring the growing role of corporate treasuries in shaping Bitcoin demand.

• Exchange Evolution: Coinbase (COIN) joined the S&P 500, marking the first pure-play crypto exchange in the benchmark and broadening institutional access.

Tracking Bitcoin in Real Time

Stay on top of intraday volatility and volume trends using FMP's Cryptocurrency Daily API, which delivers minute-by-minute price, volume, and order-book snapshots for BTC and over 200 altcoins (Daily Crypto API). For deeper context, you can analyze rolling returns and volatility patterns over months or years via the Cryptocurrency Historical Data API—ideal for back-testing macro-driven strategies (Historical Data API).

Actionable Takeaways

1. Hedge Against Policy Risk: Allocate a strategic weight to Bitcoin in portfolios to mitigate potential dollar-weakness and credit-rating shocks.

2. Monitor Macro Shifts: Link real-time crypto feeds with economic-calendar releases to anticipate volatility spikes around U.S. Fed announcements or trade headlines.

3. Adopt Data-Driven Entries: Use historical volatility overlays to define risk-appropriate entry points, balancing momentum with mean-reversion signals.

By combining real-time API insights with disciplined risk management, investors can better navigate Bitcoin's next leg higher and guard against sudden reversals.