Bitcoin Hits New Highs in USD, But Euro Investors See Limited Gains

The Bitcoin price curve is showing significant upward movements these days and has clearly exceeded the $120,000 mark for the first time. But in euro terms, BTC still has to wait for new records – why?

Bitcoin is showing tremendous strength: First, the BTC price curve broke the $110,000 mark for the first time before the weekend, then fell below the significant hurdle of $115,000, and this Monday morning, Bitcoin reached another new all-time high of just over $122,000.

However, some investors in Europe are surprised: With current prices of just under €105,000, Bitcoin is still lagging behind its all-time high of around €106,000. The ongoing depreciation of the US dollar against other major currencies such as the euro is also having a noticeable impact on the regional Bitcoin market in Europe.

As so often in recent months, the policy behind this is US President Donald Trump. With a provisional 30 percent trade tariff on EU exports to the US, Trump’s markets now at least have a concrete figure, and this also had a positive impact on Bitcoin prices. A weaker US dollar is in Trump’s interest because it strengthens the export capacity of the American economy. The Bitcoin price is usually quoted in the global reserve currency, the US dollar. This is because the US market is of crucial importance for BTC, not least because of the Bitcoin ETFs there.

For investors who calculate in euros, this combination also creates the unusual situation that the current Bitcoin record run is having only limited impact on them. Now it’s time to consider whether to wait. The US dollar hasn’t been as weak against the euro as it is now since 2021, but the long-term charts also repeatedly show trend reversals. Incidentally, the exchange between the dollar and the euro affects not only Bitcoin, but also investments in US stocks from Apple to Coco-Cola to Nvidia.

Conclusion: Joy over Bitcoin all-time highs in the Eurozone clouded

Even considerations regarding currency prices leave no doubt about Bitcoin’s strength. Last trading week, Bitcoin ETFs in the US recorded a good $2.7 billion in capital inflows, and chances seem good that investors’ appetite for BTC won’t fade anytime soon.

Bitcoin’s image as “digital gold” is one piece of the puzzle that is increasingly leading to the realization that BTC belongs in a broadly diversified investor portfolio. How to handle this with the euro as the base currency is a key question for you when investing in Bitcoin.

__

(Featured image by Alesia Kozik via Pexels)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in BLOCK-BUILDERS.DE. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us