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Investing.com-- Bitcoin edged lower on Tuesday, headlining a drop in broader cryptocurrency prices as the sector saw some profit-taking after a stellar run-up over the last two weeks.
Bitcoin had surged to record highs of over $123,000, while altcoins also rallied as crypto bulls cheered the U.S. government’s passage of key crypto regulation. Bitcoin was also boosted by President Donald Trump’s tech company, Trump Media & Technology Group Corp (NASDAQ:DJT), disclosing a $2 billion stockpile of the crypto.
But this rally was seen running dry by Tuesday, with Bitcoin having pulled back sharply from recent peaks. Other altcoins also clocked some losses after strong gains in recent sessions.
Risk appetite was also seen cooling amid growing uncertainty over Trump’s tariffs, which will take effect from August 1, as well as a Federal Reserve meeting next week.
Bitcoin slipped 0.3% to $118,500 by 09:53 ET (13:53 GMT).
Trump Media discloses $2 bln Bitcoin holdings
Trump Media on Monday said it accumulated about $2 billion in Bitcoin after it raised some $2.3 billion for the purpose of establishing a Bitcoin treasury.
The announcement sent Trump Media’s shares up as much as 9%, although they settled up 3.1% on Monday.
The announcement underscored Trump’s growing interest in crypto, with his family having launched several crypto ventures this year. These include the World Liberty Financial Group, and the $TRUMP memecoin, both of which have boosted the president’s personal wealth.
The president had earlier this year signed orders setting up a strategic Bitcoin reserve, and had appointed a “crypto czar” for the White House.
Trump’s crypto interest also saw him recently sign into law the GENIUS Act, which establishes a regulatory framework for stablecoins. Passage of the act was a key driver of crypto’s recent rally, as traders welcomed more U.S. regulatory approval.
Still, Trump’s pro-crypto stance has raised concerns over a potential conflict of interest for the president, given that his legislative moves directly affect the price of his crypto holdings.
Musk’s SpaceX makes first crypto transaction in over 3 years
Elon Musk’s SpaceX moved part of its Bitcoin holdings on Tuesday, marking its first crypto transaction in over three years, according to data from Arkham Intelligence. A wallet linked to the company transferred 1,308 BTC (around $150 million) to a new address.
This is the first movement since June 2022, when SpaceX had sent several batches—totaling over 17,000 BTC—to Coinbase (NASDAQ:COIN).
Arkham data shows SpaceX now holds 6,977 BTC, valued at approximately $825 million.
Crypto price today: altcoins retreat after strong rally
Broader crypto prices largely tracked declines in Bitcoin, as they faced some profit-taking after a strong rally over the past week.
World no.2 crypto Ether fell 4.4% to $3,652.56 after reaching its strongest level since December.
XRP fell 1.8% to $3.50, while Cardano lost over 5%. Solana outperformed, rising 3%.
Among meme tokens, Dogecoin lost 4.4%, while $TRUMP plunged 7.4%.
(Additional reporting by Vahid Karaahmetovic.)