Bitcoin Shows Hints of Store of Value Behavior in April
Bitcoin displayed surprising price action in April, raising new questions about its long-debated role. While typically linked to tech stock performance, bitcoin briefly diverged from that pattern last month. Some investors even compared it to gold—a classic store of value.
Shares of the iShares Bitcoin Trust ETF (IBIT), which mirrors bitcoin prices, rose 14.3% in April. Operated by BlackRock, this ETF offers exposure to bitcoin through traditional finance structures. Its performance highlights growing mainstream interest in digital assets.
April Tariffs Trigger Unusual Bitcoin Movements
The turning point came on April 2 with new U.S. tariffs—dubbed “Liberation Day.” Until then, bitcoin had underperformed, moving in lockstep with the Nasdaq. But after the announcement, it dropped less sharply than tech stocks and began to climb shortly after.
From April 8 to 21, bitcoin rose while tech stocks fell. During this time, it also mirrored gold’s movement. This suggested a possible shift in perception: bitcoin was no longer seen solely as a speculative tech asset, but potentially as a hedge against economic risk.
Currency Weakness and Treasury Signals Aid Bitcoin
A series of economic signals helped bitcoin’s rally. Bond yields rose, but the U.S. dollar weakened—an unusual pairing. Typically, rising yields strengthen the dollar. The opposite happened, possibly pointing to international investors viewing U.S. markets as risky.
With gold surging and the dollar faltering, bitcoin emerged as an alternative safe haven. In a financial environment lacking clear trust in traditional assets, some investors turned to bitcoin as a digital store of value.
Post-Tariff Rally Reveals Bitcoin’s Dual Nature
On April 22, Treasury Secretary Scott Bessent hinted at easing tensions with China. That news fueled a tech stock rebound. Interestingly, gold declined—signaling lower perceived risk. But bitcoin rose again, echoing the “risk-on” sentiment of the tech sector.
In short, bitcoin played both roles: hedge and growth asset. It gained from fears around economic instability but also benefited from bullish investor behavior. This dual identity remains one of the most fascinating traits of bitcoin today.
Bitcoin’s Identity Crisis: Safe Haven or Speculative Asset?
Despite April’s impressive performance, bitcoin still trails gold in year-to-date returns. Gold remains the preferred hedge against inflation and geopolitical risk. Meanwhile, bitcoin continues to follow tech stock trends over longer time frames.
This suggests bitcoin isn’t yet a true store of value. However, April proved it may be inching closer. Investors are still figuring out whether bitcoin belongs in the same category as gold or remains a speculative asset.
A New Chapter or Temporary Fluctuation for Bitcoin?
April might have been a preview of bitcoin’s potential evolution. But consistency is key. Assets typically behave predictably over time, and bitcoin hasn’t fully broken from its tech-driven correlations.
Still, its behavior during a month of volatility shows that investor perception may be changing. As global tensions and financial instability rise, bitcoin could slowly gain traction as a viable store of value.