Price of Bitcoin increases by 12%, fostering a positive outlook in the markets.

The past week has seen a remarkable shift in the cryptocurrency market, particularly with Bitcoin leading the charge. The weekly candlestick reflected a powerful bullish trend, effectively bringing Bitcoin back to its resistance level and triggering a risk-on sentiment on Wall Street for the first time since the announcement of the Tariff Plans by the White House. As Bitcoin soared over 12%, it briefly touched the $95,000 mark, a height not seen since the market correction began in late February.

The rise in Bitcoin’s value not only influenced its own market but also the broader equity markets, where major tech stocks experienced varying profits amidst a general sense of relief regarding interest rates. The clarity provided by the White House regarding the ongoing trade discussions with China seemed to bolster investor confidence. Although Treasury Secretary Scott Bessent mentioned that any new trade agreement could take two to three years to finalize, markets reacted positively to what they perceived as a hopeful development.

Tech shares demonstrated a mixed performance; however, many investors felt encouraged to embrace a risk-on mentality once again. Notably, Tesla’s stock rose by an impressive 23.7% last week despite reporting a decline in both profit and revenue. After a nearly 50% fall over recent months, it appeared that much of the bad news had already been factored into Tesla’s price. Alphabet’s stock also provided a boost to the tech sector after it exceeded Wall Street’s expectations and announced a significant $70 billion share buyback program.

Bitcoin’s resurgence seemed to come at a pivotal moment as the stocks were beginning to find a bottom. Additionally, the new SEC chairman, Paul Atkins, has been advocating for a clearer regulatory framework for cryptocurrencies, aiming to position the United States as a leader in the crypto space. The SEC has already dropped several notable lawsuits against major American crypto firms such as Coinbase, Kraken, Robinhood, and Ripple.

In the altcoin arena, Ethereum and Solana also enjoyed significant gains. Ethereum climbed nearly 14% over the week, recovering to the $1,800 level by Friday evening, setting the stage for a potential bullish turnaround. Solana, rebounding from a low of $95 earlier in the month, regained the $150 mark with an additional 10.5% increase following positive developments regarding the approval of several Spot SOL ETFs by Canadian securities regulators.

Meme coins joined the rally, with DOGE and Shiba Inu each rising about 20%, while PEPE surged approximately 32%. Interest in the Solana ecosystem seemed to revive, with smaller coins like Bonk, dogwifhat, and Popcat reporting extraordinary gains of 67%, 74.5%, and 76%, respectively. One of the most notable performers was Trump Coin, which spiked nearly 80% after President Trump offered to host a special dinner for the coin’s largest holders at his golf club, drawing ethical scrutiny from politicians.

The renewed enthusiasm for Bitcoin also sparked significant activity in the cryptocurrency stocks. Coinbase saw its shares rise almost 20% as Bitcoin’s surge invigorated the sector. The stock surpassed $200 after news emerged of Coinbase considering an application for a U.S. banking license in partnership with PayPal. Meanwhile, MicroStrategy’s shares increased by 13.6% on the announcement that the company had acquired an additional 6,556 BTC, valued at approximately $555 million, bringing its total holdings to over 538,200 BTC. Concurrently, Jack Mallers announced a new Bitcoin holding company, set to launch with a 42,000 BTC portfolio and pursue a merger with Cantor Equity Partners for its public listing.

In summary, the recent developments in the cryptocurrency market have not only shifted the sentiment towards optimism but also highlighted the interplay between Bitcoin and broader market trends, showing a potential recovery phase amid regulatory advancements and strategic moves by key players in the industry.