Bitcoin Rises. What's Behind Crypto's Sudden Strength.

By Elsa OhlenBitcoin, XRP and other cryptocurrencies rose early Monday, contrasting with major U.S. indexes, helped by a falling dollar.Bitcoin is up 3.4% to $86,959 over the last 24 hours, according to CoinDesk data. The price of the world's largest digital coin spiked late Sunday to its highest level since President Donald Trump's tariff "Liberation Day."XRP, the popular altcoin used on Ripple's payment platform, rose 3.9% to last trade at $2.12 and Ether climbed 3.3% to $1.625. Solana rose 1.8% to $139.43.Meanwhile, the dollar index fell to a three-year low amid comments President Donald Trump made about "terminating" Federal Reserve chair Jerome Powell.Cryptocurrencies rallied at the end of 2024 amid hopes that Trump's second presidency would bring change for the crypto landscape and boost prices. Yet, Bitcoin is down about 15% since inauguration day.In other crypto news, a group of crypto companies including Circle and BitGo are planning to apply for bank charters or licenses, The Wall Street Journal reported Monday, citing people familiar with the matter. Both were contacted for comment out of hours.Some crypto firms are eyeing bank charters that would allow them to run their businesses more like traditional lenders, while others are interested in narrower licenses enabling them to issue stablecoins. Either way, such a move could help crypto become more intertwined with the banking system.Crypto exchange Coinbase is also exploring licensing options, according to the WSJ report.Write to Elsa Ohlen at [email protected] content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.