Gains in Bitcoin came tracking upside in broader risk-driven markets, after U.S. and China confirmed that top-level officials will meet for trade talks in Switzerland this week.
The announcement pushed up optimism that the world’s biggest economies will now engage in greater dialogue and help deescalate a bitter trade war between the two, although the timing of such a scenario remained unclear.
But hopes for a deescalation remained limited, especially as U.S. President Donald Trump said earlier on Tuesday that he did not plan to sign any trade deals soon. Both Beijing and Washington have also shown little interest in deescalation, after they slapped trade tariffs of over 100% on each other in April.
While the trade war and trade talks have little direct bearing on Bitcoin, crypto prices remain sensitive to shifts in sentiment, due to their speculative nature. Fears of a prolonged U.S.-China trade war and its economic fallout had spurred deep losses in Bitcoin earlier this year. $BTC #BTCpredictions