Bitcoin Breaks Away from Tech Stocks Amid Tariff Turmoil

For years, Bitcoin has been tightly linked to U.S. tech stocks — rising with the Nasdaq and falling even harder during downturns. But that narrative may be shifting.

Following former President Trump’s April 3 announcement of sweeping new tariffs, the Nasdaq-100 plunged 7.2% in 48 hours, marking its worst performance since March 2020. Meanwhile, Bitcoin defied the trend, climbing over 2% to surpass $84,600.

The broader market also suffered: the S&P 500 and Dow Jones dropped 17.4% and 14.9% from their peaks, while the Nasdaq confirmed a bear market, down 22.7%. In one day alone, U.S. equities lost $3 trillion in value.

Institutions Keep Buying

Despite the equity selloff, institutional confidence in Bitcoin remains strong. BlackRock increased its Bitcoin ETF (IBIT) holdings by $66 million on April 4. IBIT has now seen 14 straight weeks of net inflows, even during recent price corrections — signaling long-term conviction over short-term fear.

BlackRock also met with the SEC’s crypto team earlier this month, hinting at further expansion into digital assets.

Bitcoin’s Unique Advantage

Unlike companies hit by tariffs or supply chain issues, Bitcoin has no such vulnerabilities. As a decentralized asset, it doesn’t face business risks like tax hikes or geopolitical disruptions. “Bitcoin isn’t a company,” said Coin Bureau’s Nic Puckrin. “No one can place tariffs on it.”

Michael Saylor, Executive Chairman of MicroStrategy, added that Bitcoin’s 24/7 liquidity often makes it the first asset sold in a panic — but that doesn’t mean it’s weak. Instead, it highlights its unparalleled market depth.

A New Narrative?

Bitcoin’s recent performance could signal a growing recognition of its role as a hedge against traditional financial risks. If this trend continues, Bitcoin may no longer just follow tech — it might be carving out its own path.