Bitcoin News Today: Bitcoin Surges Past $118K as U.S.-EU Trade Deal Fuels $3.68T Market Rally

Bitcoin rebounded to $118,000 in early July 2025 as U.S. President Donald Trump announced a landmark trade agreement with the European Union, spurring optimism in cryptocurrency markets. The deal, termed “the biggest deal ever made” by Trump, involved the EU committing $750 billion in U.S. energy purchases and $600 billion in American investment initiatives. This followed earlier threats of 30% tariffs on EU goods, which were later reduced to a 15% cap during negotiations [1]. The resolution of trade tensions appeared to stabilize investor sentiment, with Bitcoin surging past $119,000 shortly after the agreement [2].

The cryptocurrency market witnessed a broader $3.68 trillion rally, fueled by institutional adoption and inflows into exchange-traded funds (ETFs). Binance noted Bitcoin stabilizing near $119,000, with key resistance levels at $120,000 and $113,000 monitoring potential volatility. Ethereum climbed to nearly $3,850, while BNB hit a record high of $825, reclaiming its status as the fifth-largest cryptocurrency after Solana [3]. Analysts attributed the gains to reduced uncertainty around tariffs, which had previously triggered volatility when Trump imposed similar measures in April 2025 [1].

The trade deal’s terms also influenced short-term economic expectations. While Trump retained 50% tariffs on steel and aluminum, the 15% cap on other goods signaled a moderated approach compared to initial warnings. This shift likely boosted risk appetite, with CoinGlass data indicating increased crypto derivatives trading ahead of the deal’s announcement [4]. However, institutional selling emerged as a counterbalance, pushing Bitcoin down 2.5% to $118,000 by late July 28 as large-cap funds liquidated positions [5].

The market’s response highlighted the evolving interplay between macroeconomic policy and crypto assets. ETF inflows, particularly into spot Bitcoin ETFs, amplified demand, while corporate investments—such as the EU’s energy procurement—added liquidity. BNB’s surge underscored growing altcoin interest, driven by $610 million in corporate buying over a single week [6]. Analysts warned, however, that Bitcoin’s ability to sustain levels above $118,000 would depend on broader economic signals, including the Federal Reserve’s upcoming inflation data review [7].

The deal’s implications extended beyond cryptocurrencies. Trump’s negotiation with European Commission President Ursula von der Leyen in Turnberry, Scotland, marked a pivotal shift in transatlantic trade dynamics, potentially boosting U.S. energy exports and reducing geopolitical friction. This alignment of economic and policy factors created a favorable backdrop for risk-on assets, with crypto markets serving as an early barometer of investor confidence [8].

Sources:

[1] [Bitcoin Back at $118K After Trump’s EU Trade Deal](https://news.bitcoin.com/bitcoin-back-at-118k-after-trumps-eu-trade-deal/)

[2] [Trump’s EU Trade Deal Sparks Crypto Surge](https://cryptopotato.com/trumps-eu-trade-deal-sparks-crypto-surge-btc-nears-120k-bnb-breaks-ath/?amp)

[3] [Bitcoin News Today: BTC Surges Past $118000 as ETF Inflows Fuel $3.68T Market Rally](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-surges-118-000-etf-inflows-fuel-3-68t-market-rally-2507/)

[4] [Asia Morning Briefing: Trump’s EU Tariff Deal Holds Bitcoin Near $119K](https://cryptoadventure.com/asia-morning-briefing-trumps-eu-tariff-deal-holds-bitcoin-near-119k)

[5] [Bitcoin News Today: BTC Drops 2.5% to $118K Amid Institutional Selling](https://www.ainvest.com/news/bitcoin-news-today-btc-drops-2-5-118k-institutional-selling-wewake-presale-hits-100k-stage-3-2507/)

[6] [BNB Rises Over 6% Amid U.S.-EU Trade Deal and $610M Corporate Buying](https://www.coindesk.com/)

[7] [Bitcoin, Ethereum, XRP, Crypto News and Price Data](https://www.coindesk.com/)

[8] [Trump’s EU Tariff Deal Holds Bitcoin Near $119K](https://cryptoadventure.com/asia-morning-briefing-trumps-eu-tariff-deal-holds-bitcoin-near-119k)