China has added five tonnes of gold to its reserves in under a month as part of an increasing aggressive purchase of the precious metal. Bitcoin continues to stand firm above the $87,000 level despite recent market fluctuations.

Related Reading

PBOC Gold Accumulation Up As Bitcoin Price Soars

According to the Kobeissi Letter in posting messages on X, the People’s Bank of China has been abruptly accumulating gold. It has acquired five tonnes over the last month. This has taken place amid uncertainty in global markets from the rift caused by persistent tensions in trade along US-China fronts.

Bitcoin traders seem to witness this, as the price of the crypto holds strong at $87,280, with scanty negative macronews in the background. Merely four days ago, cryptocurrencies fell back after US President Donald Trump proclaimed a 245% import tax on Chinese items. The quick recovery has surprised many market observers.

BREAKING: China’s central bank increased its gold holdings by 5 tonnes in March, posting their 5th consecutive monthly purchase.

This brings total China’s gold reserves to a record 2,292 tonnes.

Chinese gold holdings now reflect 6.5% of its total official reserve assets.… pic.twitter.com/LuwiBvnirn

— The Kobeissi Letter (@KobeissiLetter) April 20, 2025

Whale Wallets Indicate Growing Appetite For Bitcoin

Statistics by Glassnode indicate a steep increase in addresses containing over 1,000 Bitcoin. More than 60 new “whale” wallets have entered the market since early March.

The number of such large Bitcoin addresses has increased from 2,030 in late February to 2,100 as of April 15, which is the highest in four months. The boost indicates large investors are purchasing more Bitcoin despite changing market conditions.

Others say the strength of Bitcoin lies in its increased popularity as an inflation hedge, akin to gold. This theory has become more widely accepted as China seems to be steering away from US dollar-denominated assets.

Gold Prices Hit New Records As Trade Tensions Mount

Prices of gold have surged to $3,401, up by close to $100 over only a week. The rise comes as institutions, dominated by China, raise their gold stockpiles.

The ongoing tariff war between the US and China has driven investors towards traditional safe-haven assets. Bitcoin is also seen to be gaining from this same trend, with some investors seeing it as a contemporary option for gold in times of uncertainty.

Mixed Signals From ETF Flows And Market Analysts

Not everything is rosy for Bitcoin. Reports disclose that nearly $5 billion has exited Bitcoin ETFs since their aggregate flow hit all-time highs. In spite of this outflow, Bitcoin’s price has remained extremely stable.

Related Reading

There are also contradictory reports regarding China’s position on Bitcoin. While there are rumors that China may be accumulating a Strategic Bitcoin Reserve, other reports say the nation sold 15,000 BTC on offshore exchanges.

The cryptocurrency’s ability to maintain its price despite these mixed signals has caught the attention of traders worldwide. As US-China economic tensions continue, investors are watching both gold and Bitcoin as potential safe havens in an increasingly unstable global market.

Featured image from GEPL Capital, chart from TradingView

The crypto market, led by Bitcoin, has rebounded following Donald Trump’s decision to exempt tech products from tariffs he has imposed on China and other countries. Market participants see this as a positive amid the ongoing trade war between the US and China.

Crypto Market Rebounds As Donald Trump Exempts Tech Products From Tariffs

The crypto market has surged following Donald Trump’s move to exempt tech products from reciprocal tariffs imposed on China and other countries. According to a CNBC report, the US president has exempted phones, computers, and chips from the new tariffs.

The Bitcoin price surged past the $85,000 market following this report, with other altcoins also recording significant gains. This development is undoubtedly bullish for the market as it reduces the severity of the tariffs that Trump imposed on almost all countries earlier this month.

Moreover, this represents a big win for the stock market, with companies like Apple the biggest beneficiaries of this exemption. As such, it is normal for the crypto market to rebound alongside, given Bitcoin’s correlation with stocks.

Meanwhile, this move could also mark the beginning of the end of the ongoing trade war between the US and China. As CoinGape reported, China yesterday announced a 125% tariff on US imports following the latter’s decision to impose 145% tariffs on Chinese goods.

Trump already mentioned that he is looking forward to making a deal with China, which is also positive for the market. Bitcoin and altcoins could witness another massive rally once that happens.

Correctional Phase Could Soon Be Over

In a recent X post, crypto analyst Kevin Capital suggested that the correctional phase could soon be over for the crypto market. He noted that this phase has so far gone according to plan. However, he warned that there is still a lot of work to be done.

The analyst believes it is important for the Bitcoin price to clear the $89,000 level before market participants start feeling good. He added that the macro side also needs to line up for things to start looking really good for the market.

The macro side looks to be progressing well as the Federal Reserve recently revealed plans to provide liquidity if necessary. Meanwhile, the latest CPI and PPI inflation data came in lower than expectations, which could also motivate the Fed to start easing monetary policies.

Crypto analyst Rekt Capital warned that Bitcoin isn’t there yet. He stated that it would be momentous to weekly close above $86,000, as this would potentially set BTC up for a repeat of a mid-2021 breakout. However, the flagship crypto is still away from the bullish weekly close of $86,811.

✓ Share:

Boluwatife Adeyemi

Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several topics and niches. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover, a traveler and a part-time degen.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.