U.S. Stocks Experience a ‘Surprising Surge’ as Bitcoin Soars to 85K
The US stock market finally experienced a strong rebound yesterday. Data from the University of Michigan’s consumer survey showed that the consumer confidence index in the United States plummeted from 64.7 in February to 57.9 in March 2025. However, for the market, any day without Trump’s tariff rhetoric is a good day. The cryptocurrency market rebounded alongside other risk assets. Bitcoin surged to $85,309 last night, and all of the top ten cryptocurrencies, except TRX, posted gains of 1.4% to 7.4% over 24 hours.
No news is good news, as the US stock market staged a “scared-cat bounce.” The market rebound temporarily eased the anxiety of stock investors, but the consequences of Donald Trump’s political maneuvers continue to shake global markets and leave American consumers uneasy. Following an agreement among government leaders on a massive defense spending plan, German bond yields soared, while the ultimate safe-haven asset—gold—broke through $3,000 for the first time.
(Investment banks raise gold price targets; Peter Schiff: Sell Bitcoin and buy gold)
The S&P 500 index rose by 2.1%, marking the largest increase since the presidential election in November, yet it has declined for four consecutive weeks, the longest losing streak since last August.
The consumer confidence index data from the University of Michigan released on Friday indicated a drastic drop from 64.7 in February to 57.9 in March 2025, the lowest level since November 2022.
Ed Yardeni, founder of Yardeni Research, described yesterday’s rebound as a “scared-cat bounce”: “For the market, any day without Trump’s tariff rhetoric is a good day. The market also rose due to concerns about avoiding a government shutdown. When we see the stock market rise on a day or within days of Trump once again promoting tariffs, we will be more inclined to believe that the market has bottomed out.”
Bitcoin briefly surged to $85K. The cryptocurrency market rebounded alongside other risk assets. Bitcoin hit $85,309 last night, rising over 3% in 24 hours. Bloomberg ETF analyst Eric Balchunas believes that despite enduring a painful 25% drop, over 95% of Bitcoin ETFs holding cash remain strong, showcasing how the baby boomer generation is navigating through this like ducks paddling. He emphasized that this is not foolish money but rather an engagement in wealth creation. These individuals are not opting out; the US stock market remains their primary investment, while Bitcoin acts as a 1-2% spicy sauce that adds interest to life and has the potential to cure future FOMO.
(Retail investors continue to buy the dip; the market has yet to find a bottom. Is the “retail investor contrarian indicator” still valid?)
All top ten cryptocurrencies by market capitalization, except TRX, saw gains of 1.4% to 7.4% over 24 hours.
Source: CoinGecko
Risk Warning: Cryptocurrency investments are highly risky, and their prices may fluctuate dramatically, leading to the potential loss of your entire principal. Please assess the risks carefully.
