Expectations for high-level trade talks between China and the United States heat up, Bitcoin surges to $97,000
On May 7, the price of Bitcoin reached an intraday and five-day high during Asian morning trading, hitting $97,700. This surge brought Bitcoin back to the level of May 2, when it faced resistance and fell below $94,000.
However, this increase saw BTC's price rise by nearly $4,000 within about 12 hours, but the momentum could not be sustained, and the price has now retreated to around $96,800. Nevertheless, Bitcoin still rose by 2.6% on the day, and market sentiment appears to be improving.
This surge seems to be driven by the planned high-level trade talks between the United States and China over the weekend in Switzerland. On May 6, the two countries announced plans for Treasury Secretary Scott Bessenett, Trade Representative Jamieson Greer, and the Chinese Vice Premier to hold trade negotiations in Geneva.
Bessenett stated on X: "Thanks to the President of the United States, the world has come to America, and China is the missing piece of the puzzle. We will hold meetings on Saturday and Sunday to discuss mutual interests."
Bessenett further pointed out that the current tariffs and trade barriers are "unsustainable," but both sides are not seeking "decoupling" but are committed to achieving fair trade. The Chinese Ministry of Commerce also confirmed the talks and emphasized that this is an important opportunity for preliminary negotiations regarding the removal of some tariffs, planning a way forward, and raising concerns.
In addition, the depreciation of the dollar has also boosted the Bitcoin and cryptocurrency market, with the dollar index accelerating its decline over the past week. However, despite the rise in Bitcoin, the total cryptocurrency market value remained flat at $3.09 trillion on the day.
Meanwhile, Ethereum briefly climbed to a high of $1,850 during the day but still faced significant resistance at this level that it failed to overcome in the past two weeks. Other altcoins also experienced slight increases of varying degrees.
What do you think? Is this rapid increase mainly attributed to the warming expectations of China-U.S. trade negotiations? Do you believe this upward trend will continue in the coming weeks? Feel free to leave a comment and let's chat!
