Bitcoin Surges 5% to $100,000 on Trump Trade Deal Hopes

Bitcoin's price surged to nearly $100,000 on Thursday, driven by a combination of geopolitical developments and market sentiment. The cryptocurrency's ascent was fueled by President Donald Trump's announcement that a significant trade deal with a major, highly respected country was imminent. Although the identity of the country was not disclosed, speculation pointed towards the United Kingdom, suggesting potential reductions in tariffs and broader economic relief.

The anticipation of easing trade tensions has bolstered investor optimism, particularly in risk assets such as cryptocurrencies and technology stocks. Lower tariffs could alleviate inflationary pressures and create a more favorable environment for high-beta investments, including Bitcoin. This optimism has been further supported by key macroeconomic factors, such as falling U.S. bond yields and a weakening dollar, which have enhanced market liquidity and renewed investor confidence.

Bitcoin's price has climbed more than 5% in the past 24 hours, extending its recent rally. The potential rollback of tariffs aligns with growing political momentum to counterbalance China’s economic rise and strengthen U.S. manufacturing. Although the full terms of the agreement are yet to be revealed, the anticipation alone has sparked significant movement in crypto markets.

Several Bitcoin enthusiasts have attributed the rally toward $100,000 to speculation surrounding the trade deal. FOMO21 co-founder Neil Jacobs noted that the Bitcoin rally was primarily due to Trump’s announcement. Crypto entrepreneur Anthony Pompliano suggested that the incoming trade deal “means odds are increasing we hit new all-time highs in 2025.” Bitcoin reached its current all-time high of $109,000 on Jan. 20, just hours before Trump’s inauguration. Pandora CEO Sahib Anandsongvit highlighted that Bitcoin was $80,000 only a few weeks ago before pointing out Bitcoin’s $98,000 price at the time of the post and reiterating Trump’s looming trade deal. Bitcoin last traded at the $80,000 price level on April 11 and only reclaimed $90,000 on April 22.

Trump’s post came just hours after the US Federal Reserve announced that it would keep interest rates at 4.25% to 4.50% despite mounting pressure from Trump to lower interest rates. Bitcoin has not hit $100,000 since Feb. 1 after Trump proposed import tariffs on China, Canada and Mexico. Meanwhile, crypto market participants appear to be more bullish on the overall market, with the Crypto & Fear Index reading a “Greed” score of 65.

The confluence of geopolitical developments, favorable economic indicators, and increased capital inflows continues to drive bullish momentum for Bitcoin. With volatility still in play, all eyes remain on Trump’s upcoming announcement and its implications for the broader market. The potential for reduced tariffs and global economic relief has created a more optimistic outlook for risk assets, particularly in the cryptocurrency space.