Bitcoin tops $88.5K as stocks fall, institutions return

Bitcoin surged past $88,500, reaching a new monthly high as it continues to decouple from declining U.S. stock markets. The rally comes amid rising trade tensions between the U.S., China, and Japan, boosting demand for safe-haven assets like Bitcoin and gold. With the U.S. Dollar Index (DXY) falling to its lowest since 2022, Bitcoin and gold have both surged. Analysts at QCP Capital noted growing institutional confidence, with spot Bitcoin ETF inflows returning after weeks of outflows. The options market is also showing signs of stabilization. These trends may fuel further Bitcoin gains in the coming weeks.