As Bitcoin (BTC) hovers above the $90,000 mark, renewed optimism is sweeping through the crypto market — and surprisingly, much of it is driven by the political developments made by United States (US) President Donald Trump. Amid the market turmoil and decline, Trump has recently shifted his stance on the previously proposed tariff hikes on China. Analysts are now pointing to the possible trade resolution between the two countries as a potential catalyst that could propel the Bitcoin price to $100,000.
Bitcoin Sees Reprieve As Trump Backs Off On China Tariff Hike
Bitcoin has once again seized the spotlight, breaking past $94,000 in just one day. However, this rally isn’t being driven by traditional crypto catalysts like ETF inflows but by whale accumulation spikes and the sudden political changes in the US.
After months of escalating rhetoric and tariff threats, Trump appeared to pivot this week, striking a more conciliatory tone toward China. Bitcoin’s rise above its previous low below $75,000 is a testament to the market’s ready response to Trump’s unexpected policy shift, signaling a de-escalation in US-China trade tensions.
The rally, which reversed weeks of sluggish price action across crypto markets, was led by Bitcoin and quickly followed by lower-cap altcoins. Based on the timing of Bitcoin’s price increase, the shift in investor sentiment is likely tied to Trump’s twin policy pivots. This not only includes easing tariffs on China but also his surprising decision to back off from removing Federal Reserve Chair Jerome Powell.
Discussions are still underway about whether China will respond to Trump’s tariff plans. In a recent press conference at the White House, Trump appeared confident that China would eventually cut a trade deal with the US.
Despite his earlier use of steep tariffs as a possible intimidation tactic, the US President admitted that he would no longer be playing “hardball.” Instead, he signaled a more conciliatory approach toward resolving the trade tensions with China.
BTC Price To Reclaim $100,000
Presently, Bitcoin has pulled back to $92,487 after its brief surge past $94,000. Market expert ‘Crypto VIP Signal’ on X (formerly Twitter) notes that BTC is rapidly approaching a critical resistance level at $95,000 while maintaining strong support at $90,000.
A decline below the support zone could lead to further price breakdowns toward $88,000 – $80,000. Alternatively, a decisive breakout above the resistance threshold is expected to trigger a strong rally for BTC.
Other analysts have shared similar bullish sentiments, suggesting that easing tariff tensions in the US and Trump’s optimistic remarks about being in talks with China could trigger a surge in BTC, possibly pushing it to $100,000. The analyst predicts that Bitcoin will reclaim this level once the US secures a trade agreement with China.
Featured image from Pixabay, chart from Tradingview.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.