Crypto Assets Show Signs of Stabilizing Despite Trade Fears; Long-Term Outlook Remains Positive
After a period of selling pressure and growing concerns about tariffs, major cryptocurrencies are demonstrating early signs of price stabilization, even as geopolitical uncertainties continue to cloud the short-term outlook.
Bitcoin (BTC) remained near $105,000 during Monday’s Asian trading session, experiencing minimal movement in the past 24 hours but registering a 5% decline over the last week.
Other top coins—including Ethereum (ETH) at $2,523, XRP at $2.15, Solana (SOL) around $153, Cardano (ADA) near $0.67, and Dogecoin (DOGE) at approximately $0.19—showed similar price patterns, suggesting they may have found local support levels and could be poised for short-term recovery.
“Bitcoin is holding steady at $105K amid ongoing uncertainties about inflation, tariffs, and the broader U.S. economy,” said Nick Ruck, director of research at LVRG. “While these macro factors have slowed crypto’s upward momentum, the sector’s long-term prospects remain bright due to continued institutional and retail adoption.”
Market jitters persist as China announced retaliatory measures following new U.S. restrictions on AI chip exports and related software sales, adding to risk-off sentiment in global markets.
“Recent trade tensions have underscored how sensitive cryptocurrencies are to geopolitical developments,” noted Jeff Mei, COO of BTSE. “Investors should watch for further updates from both the U.S. and China, alongside key U.S. economic reports and potential escalations in the Russia-Ukraine conflict.”
Mei emphasized that macroeconomic news continues to dominate price movements, but institutional accumulation of crypto assets signals sustained confidence in the sector’s growth.
Meanwhile, diversification into tokens such as XRP and SOL is gaining traction as Bitcoin increasingly behaves like a traditional risk asset, bolstering optimism among traders.
“Amid trade uncertainty, capital flows into high-growth tech stocks, but savvy investors are also expanding crypto portfolios, especially with assets like Bitcoin and XRP that benefit from ETF-related optimism,” said Kathy Qu, research manager at HashKey Cloud.
She also pointed to ongoing strength in staking and decentralized finance, noting that Ethereum ETFs are expected to benefit from recent regulatory changes exempting staking, potentially encouraging more institutional participation in DeFi.
