Bitcoin Surges 25% to $97,000 on U.S.-China Trade Talk Hopes
Bitcoin’s price has surged above $97,000 during Asian trading hours as markets respond positively to news of potential trade talks between the U.S. and China. This development has helped Bitcoin recover from the price drop triggered by the White House’s announcement of tariffs earlier this year. Market participants now have $100,000 Bitcoin back in their sights.
Several on-chain metrics support a bullish outlook for Bitcoin. Crypto analyst Willy Woo expects Bitcoin to move to $108,000 next, while liquidation heatmaps project a $107,000 target. The MVRV (Market Value to Realized Value) ratio has bounced off the 1.74 level after testing it on April 8, hitting 2.14 currently. This pattern is similar to the August-September 2024 trend and suggests Bitcoin has survived another market reset. The percentage of Bitcoin supply in profit has also recovered, with the 7-day moving average reaching 87%. This high percentage indicates bullish investor expectations.
Market analyst Axel Adler Jr. notes that Bitcoin’s on-chain momentum has entered what he calls the “start” rally zone, with a momentum ratio of approximately 0.8. He outlines three possible scenarios: an optimistic case where Bitcoin could reach $150,000-$175,000, a base case with Bitcoin trading between $90,000-$110,000, and a pessimistic scenario that could see a correction to $70,000-$85,000.
Institutional demand continues to grow, with $1.5 billion flowing into Bitcoin ETFs. Strategy, led by Michael Saylor, announced plans to raise $21 billion for more Bitcoin purchases, showing ongoing institutional confidence. Investors are increasingly impressed by Strategy’s growing sophistication, highlighted by new valuation frameworks like BTC Torque and a strong focus on pricing its fixed-income instruments. This institutional support, combined with strong liquidity and improving market depth, creates a favorable environment for Bitcoin’s continued price growth.
Short-term holder activity also signals accumulation, similar to patterns seen in January and October that preceded significant rallies. This behavior often indicates that the market is positioning for a larger move. Bitcoin now trades above key short-term resistance levels at $93,100 and $95,300, setting the stage for a potential move toward the $100,000 psychological barrier. With strong on-chain metrics, growing institutional interest, and bullish technical indicators, Bitcoin appears positioned to continue its upward momentum in the coming days.

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