Bitcoin Hits New High Amid US-China Trade Deal Hopes
Bitcoin seems to be settling at a new peak, buoyed by growing optimism about a potential trade agreement between the US and China.
As of Wednesday, reports indicate that the world’s largest economies are close to finalizing a trade deal, according to a post from former President Donald Trump.
“Our deal with China is on track and just needs final approval from President Xi and me,” Trump mentioned. “We’re currently looking at tariffs—55% for us, 10% for China. The relationship is looking great.”
Iliya Kalchev, an analyst at Nexo Dispatch, suggested that US-China trade discussions “might ease some tensions regarding rare earth exports, but specific policy shifts are still unclear.”
Meanwhile, Bitcoin (BTC) prices surged to a 24-hour high of just under $110,300, peaking at $109,560 as of 1:04 PM Wednesday, according to TradingView data.
Raoul Pal, founder and CEO of global macro investors, remarked, “Most of the negotiations concerning tariffs seem aimed at improving trade relations with China.” He also noted that further discussions might merely serve as a posturing related to the deal with mainland China.
Progress on US-China Trade Framework
On Tuesday, Chinese Deputy Commerce Minister Li Chenggang announced that both countries had arrived at a principled agreement aimed at resolving trade differences through cooperation.
Chenggang reported that the negotiations in London involved “engaging and detailed conversations,” as shared with a Chinese news outlet.
This development might bring some relief to crypto investors. Trump’s proposed trade tariffs had been seen as a significant macroeconomic risk to both traditional stock markets and cryptocurrencies during 2025.
Bitcoin had briefly dropped to a yearly low of $74,434 on April 7, just days after Trump first announced import duties. Additionally, uncertainty stemming from these tariffs impacted venture capitals’ interest, leading to a decline in crypto VC transactions to 62 rounds in May, marking a monthly low.
Aurelie Barthere, a research analyst at Nansen, weighed in on the situation.
