Bitcoin surged past the $104,900 mark over the weekend, as renewed hopes for progress in US-China trade negotiations lifted investor sentiment across financial markets.
The world’s largest cryptocurrency climbed 2% on Saturday following statements from US President Donald Trump, who described the latest discussions with Chinese officials as productive and promising. This rally was echoed in the broader crypto space, with Ethereum jumping more than 10% to reach $2,600 and Dogecoin leaping 21% to nearly $0.25.
The bullish momentum came on the heels of marathon talks in Geneva, where US Treasury Secretary Scott Bessent and China’s Vice Premier He Lifeng held intensive negotiations. The talks, which are expected to continue, have raised hopes of easing tensions that have rattled global markets in recent months.
President Trump’s remarks on social media, calling the meeting “a total reset” and emphasizing progress towards opening Chinese markets to US businesses, helped fuel the crypto rally. His optimistic tone marked a shift in what has been a strained economic standoff between the world’s top two economies.
The tariff war, which escalated last month with the US imposing 145% duties on Chinese goods and China responding with 125% tariffs on American products, has disrupted hundreds of billions of dollars in trade. Markets have been on edge, waiting for signs of de-escalation.
Cryptocurrencies, often seen as a hedge against geopolitical and financial instability, reacted quickly. Investors poured back into Bitcoin and Ethereum, drawn by the possibility of improving economic conditions and the sector’s reputation as a safe haven during uncertainty.
Adding to the momentum, institutional activity picked up, with Bitcoin exchange-traded funds (ETFs) recording significant inflows. Data shows that Bitcoin ETFs attracted $142 million in new investments last week, reversing recent outflows. Ark Invest’s flagship fund led the charge with over $54 million in fresh capital.
Market sentiment has turned decidedly upbeat, as reflected in the Crypto Fear & Greed Index, which jumped into “Greed” territory with a score of 65 — up from neutral levels just days earlier.
Bitcoin’s latest milestone not only signals growing confidence in digital assets but also underscores its role as a barometer of investor sentiment amid geopolitical tensions and shifting economic policies.
As US-China negotiations are set to continue, market watchers will be paying close attention to any further developments that could influence the next wave of movement in both traditional and digital markets.
