This morning, March 12, Bitcoin made a significant comeback, surpassing $83,000 and igniting the cryptocurrency world with gains of up to 9%. After a rough patch, this comeback’s got everyone buzzing: Is it just a quick lift, or something more exciting? With stocks perking up and good vibes from Ukraine deals to tariff talks, what’s sparking this joyride?
Green Sign from Crypto Market
In the early hours of March 12, 2025, the crypto market witnessed a strong recovery as Bitcoin (BTC) BTC, the top digital asset, surged past $83,000—gaining over $6,000 from its low on March 11.
Green dominated the market, with notable gains from ADA, DOGE, and XRP. Binance’s top gainers also included several low-cap coins, such as BANANA, AUCTION, and VIC.
Source: CoinGlass
In reality, Bitcoin has yet to surpass its January peak of nearly $109,000. It’s currently down about 24% from that peak. Most of the top 20 cryptocurrencies are also gaining, though only by single digits. However, overall, the crypto market is up more than 2% in the past day.
On the other hand, U.S. stock indices, including the Dow Jones (DJI), NASDAQ, and S&P 500, are showing signs of bottoming out. Several tech stocks, such as TSLA (Tesla), COIN (Coinbase), and MSTR (MicroStrategy), recorded strong gains of 4% to 9% over the past day.
Political situations—Ukraine war and Trade tensions
The question is: what drove the rebound today? Mark Connors, chief investment strategist at Risk Dimensions, a New York-based Bitcoin investment advisory, said it’s hard to pinpoint the exact reasons behind Tuesday’s market rebound. He supposed that the unprecedented conditions in the market would keep Bitcoin down with uncertainty about tariffs and financial decisions from Trump.
In fact, news about the Russia-Ukraine war has brought a positive signal to the market. During negotiations on March 11 in Saudi Arabia, the U.S. and Ukraine reached an agreement on cooperation in mineral extraction, while the U.S. also committed to continuing its aid to Ukraine. These developments suggest that the three-year-long war has moved past its most intense phase. However, the U.S. remains cautious, stating that “the final decision lies in Russia’s hands.”
Another key update is that the U.S. will not double tariffs on aluminum and steel from Canada. This decision came after Ontario agreed to delay imposing a 25% tariff on electricity exports to certain U.S. states. It’s clear that the Trump administration is using “tariff pressure” to push major trade partners into concessions. Even Federal Reserve Chairman Jerome Powell acknowledged that the path to reducing U.S. inflation remains “bumpy,” especially as market sentiment is influenced by Trump’s tariff proposals. Additionally, recent data from Truflation shows that U.S. inflation is sharply declining despite concerns over tariffs, fueling speculation that the Fed may cut interest rates in the second half of the year.
Investors view both the stock and crypto markets as “risk-on” assets, making them highly sensitive to President Trump’s unpredictable tariff announcements. The current advice for investors is to stay cautious and closely monitor market movements. Focus on long-term goals rather than reacting to every small fluctuation.
