Bitcoin ( $BTC ) and other major cryptocurrencies saw a strong rebound on Monday as investors responded positively to the White House's more measured approach to reciprocal tariffs. This shift, combined with encouraging economic data, helped restore confidence in the market.

Bitcoin Surges Past $87K, Ethereum Crosses $2K

Bitcoin climbed 3.29% in the past 24 hours, hitting $87,033 by 2:50 a.m. ET on Monday—its highest level since March 7, according to The Block’s crypto price page. Ethereum followed suit, rising 3.2% to $2,066, comfortably surpassing the $2,000 threshold.

Other major cryptocurrencies also experienced gains:

  • $XRP : Up 3% to $2.46

  • Solana $SOL : Gained 5.6% to $138

  • GMCI 30 Index (tracking the top 30 cryptos): Increased 3% in 24 hours

What’s Driving the Crypto Market Rally?

According to Vincent Liu, Chief Investment Officer at Kronos Research, investors welcomed Trump’s softer stance on tariffs, set to take effect on April 2, along with the Federal Reserve’s continued focus on long-term inflation trends.

In recent weeks, crypto markets have been highly volatile, largely due to President Trump's initial push for broad-based tariffs on both allies and rivals. This uncertainty tied crypto closer to equities, causing downward pressure on prices. However, Bloomberg reports that the administration is now exploring a more “targeted” approach—a shift that has provided some relief to investors.

Stronger Economic Data Adds to Optimism

Beyond trade policies, the latest U.S. economic data has strengthened investor confidence:

  • Unemployment claims rose slightly by 2,000 to 223,000, signaling a still-resilient labor market (Reuters).


  • Consumer price index (CPI) data showed inflation eased to 2.8% in February, a positive sign for economic stability.

Augustine Fan, Head of Insights at SignalPlus, pointed out that economic fears often appear worse in forecasts than in reality. "The underlying economy remains stronger than many expected," he said.

What’s Next for Crypto?

Despite this rebound, market volatility isn’t over yet. BTC Markets analyst Rachael Lucas warns that Trump’s tariff policies could still create turbulence for both stocks and crypto.

"Markets dislike uncertainty, and we may see short-term fluctuations as traders adjust to new risks," Lucas noted. Once the tariffs take effect next week, crypto markets may experience a knee-jerk reaction.

The long-term impact depends on how the tariffs unfold. If they lead to a stronger U.S. dollar, risk assets—including crypto—could face temporary pressure. However, if the market interprets this as part of broader trade negotiations, a relief rally could drive crypto prices even higher.

As always, traders should brace for volatility, but with economic fundamentals holding strong and a shift in trade policy rhetoric, crypto’s long-term outlook remains promising.