Bitcoin Surges Since Trump ‘Liberation Day’—But Solana Outperforms

Bitcoin isn’t the only cryptocurrency shining bright since the U.S. President Donald Trump slapped “reciprocal” tariffs on nearly every nation this month.

Since Trump’s Liberation Day on April 2, Solana and Bitcoin have outperformed other major cryptocurrencies, rising 14.5% to $145 and 7% to about $91,100, respectively, according to crypto data provider CoinGecko. Ethereum (-10%), XRP (-12%), and Dogecoin (-1%) have fallen.

Solana and Bitcoin have buoyed the broader crypto sector, with the global crypto market cap increasing 6% to $295 trillion since April 2. Solana accounts for 2% of the crypto market’s overall value. Bitcoin’s dominance has remained unchanged at about 60% of the market cap.

Solana’s recent outperformance has little to do with its merits as a store of value, Messari Research Analyst Matthew Nay told Decrypt. Rather, the cryptocurrency was “oversold” as traders backed off of meme coins and token unlocks dented investor sentiment.

“You’re starting to see the resurgence of Fartcoin,” Nay said, describing the Solana-based asset as emblematic of enthusiasm toward meme coins and the network’s grip on crypto’s so-called casino. “It’s never going to be as what it was, but it hasn’t gone any other chain.”

Last month, the bankruptcy estate for collapsed crypto exchange FTX gained access to 11 million Solana worth $1.6 billion. That represented the largest unlock, instantaneously increasing Solana’s circulating supply, since January 2021, per Messari data.

While token unlocks are typically bearish, Nay said that the community is now looking ahead to conferences and network upgrades, such as the validator client Firedancer.

“People still like the asset,” he said. “It was just oversold, and that’s why this resurgence has been as strong as it has been.”

Bitcoin as Store of Value

Bitcoin may be pulling ahead because of its “store of value” narrative, David Duong, head of research at Coinbase Institutional told Decrypt. As investors flock to non-sovereign assets like gold, which aren’t backed by a government, he believes Bitcoin may be catching a similar bid.

Within the cryptosphere, Bitcoin also has distinct advantages, Duong added. He highlighted Wall Street’s growing embrace and exchange-traded funds approved in the U.S. last year.

“The fact that bitcoin has gained institutional adoption and been integrated into more portfolios via spot ETFs has separated it from other tokens,” he said. “Bitcoin’s price decline from the peak has been pretty gentle compared to what we’ve seen in prior cycles, suggesting there’s greater conviction in holding bitcoin for the long term.”

Edited by James Rubin