Key Takeout
- Bitcoin prices surged past $100,000 for the first time since early February, boosting crypto-related stocks.
- Shares of Coinbase reflected a similar rise, along with major Bitcoin investors and crypto miners Mara and Riot.
- The price surge followed President Donald Trump’s announcement of a trade deal with the UK, fostering optimism about trade discussions with China this weekend.
On Thursday, the cryptocurrency market was taken by surprise as Bitcoin prices exceeded $100,000 for the first time since early February.
Bitcoin recently reached $101,000, bouncing back from around $96,000. Investors reacted positively to news about the US-UK trade agreement and the potential for more trading opportunities. Trump mentioned that “many other deals” are actively being negotiated and expressed hope for progress in discussions with Chinese officials over the weekend.
US stocks also rose, benefiting from recent developments in trade, which appear to have increased the appetite for riskier assets. Traders were keen for clear signals of progress in the trade talks, given worries that tariffs proposed by the Trump administration might hinder economic growth.
In terms of stock movement, shares of cryptocurrency exchange Coinbase (Coin) jumped 6% in early afternoon trading, while MicroStrategy, now known as Strategy (MSTR), saw a 7% increase. Meanwhile, Bitcoin miners Riot Platforms (Riot) and Mara Holdings (Mara) rose by 7% and 8%, respectively.
Bitcoin reached a record high of around $109,000 during Trump’s inauguration in January, driven by hope that the new administration would implement favorable policies for the crypto sector. Trump has aimed to position himself as a pro-crypto leader, even signing an executive order that laid the groundwork for strategic Bitcoin reserves and a broader digital asset stockpile in the US.
However, Bitcoin faced challenges in recent months alongside the US stock market as concerns about the effects of Trump’s trade policies impacted risk tolerance. Today’s rise marks a significant recovery, as Bitcoin has climbed roughly 33% from its low of $76,000 in early April.
