Bitcoin Surges 4.5% to $91,684 on U.S.-China Trade Optimism
1min read Bitcoin's price surged to as high as $91,684 on Tuesday, driven by investor optimism surrounding potential progress in U.S.-China trade negotiations. The largest cryptocurrency by market capitalization saw a 4.5% increase over the past 24 hours, positioning it for its most significant daily gain since April 9. This surge came as investors speculated on the possibility of a sooner-than-expected resolution to the ongoing trade tensions between the U.S. and China.
U.S. Treasury Secretary Scott Bessent, during a closed-door event hosted by JP Morgan, expressed his expectation that a de-escalation in the trade war with China would occur soon. He emphasized that a prolonged trade conflict would be unsustainable for both nations. This sentiment was echoed by White House Press Secretary Karoline Leavitt, who confirmed that progress was being made in trade negotiations and that the Trump Administration had 18 proposals on paper. The White House's trade team, including Bessent and U.S. Commerce Secretary Howard Lutnick, was scheduled to meet with 34 countries that week.
The remarks by Bessent and the White House's positive outlook on trade negotiations helped to alleviate market jitters, particularly on Wall Street, where concerns about tariffs had previously led to a decline in stock prices. The perceived progress in trade talks provided a boost to both traditional and crypto markets, with Bitcoin and other cryptocurrencies experiencing significant gains. Beyond Bitcoin, altcoins and meme coins also saw increases, with Solana-based Fartcoin rising 21% and Dogecoin jumping 9%. Ethereum and Solana also saw gains, rising 8% and 6% respectively.
Analysts noted that the rally in Bitcoin was likely supported by its growing credibility as a safe-haven asset. Strahinja Savic, head of data and analytics at a Toronto-based crypto merchant bank, highlighted that both traditional and crypto markets were benefiting from the perceived progress in tariff negotiations. Alice Liu, head of research at a crypto data provider, observed that Bitcoin's rally, while risk-on assets were faltering, indicated growing market confidence, particularly among institutional investors seeking alternative stores of value.
