Catenaa, Wednesday, April 23, 2025-Bitcoin surged past $90,000 for the first time in seven weeks on Tuesday, lifted by investor demand for inflation hedges following the International Monetary Fund’s (IMF) bleak economic outlook.
The IMF’s April 2025 World Economic Outlook downgraded US growth to 2.8% and raised inflation expectations to 3%, triggering broad concern over global economic prospects.
Within an hour of the report’s release, Bitcoin jumped, pushing the total crypto market capitalization to $2.9 trillion.
Major digital currencies such as Ether and Solana gained roughly 5%, while spot Bitcoin exchange-traded funds recorded $381.4 million in inflows, their largest daily intake since January.
Analysts pointed to increased demand for alternative assets as gold prices soared and the US dollar index dropped to a three-year low.
Some analysts say the price movement reflects a growing decoupling between Bitcoin and traditional financial markets.
Bernstein analysts argued that Bitcoin and blockchain assets could play a pivotal role amid global deglobalization trends.
However, others remain cautious. Wintermute trader Jake O. warned that Bitcoin’s decoupling from equities may reverse if the dollar stabilizes.
