Bitcoin remains the best-performing asset class post-election, even after a sharp correction from its all-time high. The cryptocurrency, which briefly surpassed $109,000 on January 20—the day of President Donald Trump’s inauguration—has since pulled back 23%, trading near $82,350.
Despite the downturn, Bitcoin has outpaced stocks, U.S. treasuries, real estate, and precious metals, according to data from Bloomberg.
Thomas Fahrer, co-founder of Apollo Sats, emphasized Bitcoin’s resilience.
“Even with the pullback, Bitcoin still outperformed every other asset post-election,”
Fahrer wrote in a March 18 post on X. The decline has prompted discussions about whether Bitcoin has entered a bear market, but analysts suggest the correction is part of a broader bull cycle.
Aurelie Barthere, principal research analyst at Nansen, attributes the volatility to macroeconomic factors. “Stocks and crypto have realized and are pricing in a period of tariff uncertainty and fiscal cuts, no Fed put. Recession fears are popping up,” she said.
ETF Inflows Signal Renewed Institutional Demand
Investor appetite for Bitcoin remains strong, evidenced by a surge in U.S. spot Bitcoin ETF inflows. On March 17, Bitcoin ETFs recorded over $274 million in cumulative net inflows, the largest daily total since February 4, when Bitcoin traded above $98,652, according to Sosovalue data.
The influx of capital into ETFs has played a critical role in Bitcoin’s price trajectory. In early 2024, Bitcoin’s recovery past $50,000 was largely driven by ETF investments, which accounted for nearly 75% of new capital inflows. The resurgence of ETF demand suggests that institutional investors remain optimistic despite short-term price fluctuations.
Gracy Chen, CEO of Bitget, believes Bitcoin’s downside is limited.
“I don’t see BTC falling below 70K, possibly $73K – $78K, which is a solid time to enter for any buyers on the fence,”
she said.
Despite near-term volatility, industry leaders remain confident in Bitcoin’s long-term potential. Analysts project that Bitcoin could reach $160,000 to $180,000 by the end of 2025.
With ongoing economic uncertainty and shifting fiscal policies, investors increasingly view Bitcoin as a hedge against traditional market instability. Institutional adoption continues to expand, and ETF inflows point to sustained interest from professional investors. As Bitcoin weathers short-term price swings, many market participants expect its role as a digital store of value to strengthen further
