Bitcoin is on the verge of hitting a new all-#time high, trading around $104,424, following a surprise development in U.S.–China trade relations. The cryptocurrency surged past $105,000 after the U.S. government announced a significant cut in tariffs on Chinese imports—from a steep 145% down to 30%—for a limited 90-day period. In return, China agreed to lower tariffs on U.S. goods from 125% to just 10%, signaling a major de-escalation in the ongoing trade war.
The breakthrough came after two days of high-level negotiations in Geneva, where U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer reached a temporary agreement with Chinese officials. The move has been welcomed by investors, with many interpreting it as a sign of improving global economic conditions and a possible cooling of inflationary pressures.
The timing of the deal is key, arriving just days before the release of the April U.S. Consumer Price Index (CPI). Despite encouraging CPI data from March, many analysts had brushed it off, citing concerns that rising tariffs could still stoke inflation. Now, with tariffs easing, there’s renewed optimism that inflation could remain in check.
Bitcoin has been on a sharp recovery trajectory since dipping to $75,000 in early April, climbing nearly 40% in a matter of weeks. Last week alone, it jumped 10%, bolstered by consistent capital inflows into spot Bitcoin ETFs. According to HTX, unless bond yields climb back above 4.8%, and as long as ETF interest remains strong, Bitcoin is expected to hover between $105,000 and $115,000 while it builds momentum for another breakout.
Currently, Bitcoin is just 3.6% away from breaching its previous all-time high of $109,350, according to CoinDesk data. Investors and crypto watchers are keeping a close eye on both macroeconomic indicators and ETF activity, anticipating that a new record could be set in the coming days.
