Bitcoin Surges to $105,700 Amidst US-China Trade Deal Uncertainty

The price of the first cryptocurrency surged to $105,700 at one point, but after a subsequent correction, it retraced to around $104,500.

This sharp movement in Bitcoin’s price came following the U.S. administration’s announcement of a 90-day ‘truce’ in the trade war with China. Both sides agreed to mutually reduce tariffs during this period: the U.S. from 145% to 30%, and China from 125% to 10%.

Before the results of the Geneva negotiations were announced, some experts speculated that the agreement could act as a catalyst for the cryptocurrency’s growth.

«We believe that institutional investors are less hesitant to put money into Bitcoin and digital assets now that trade uncertainty is easing and the likelihood of interest rate cuts is increasing,» commented Jeff Mei, the Chief Operating Officer of BTSE, in an interview with [Cointelegraph](https://cointelegraph.com/news/us-trump-trade-deal-china-shed-light-bitcoin-safe-haven).

Jupiter Zheng from HashKey Capital echoed this perspective.

«The deal between the U.S. and China may signal stability in the global markets, potentially prompting investors to seek growth opportunities and allocate capital to alternative assets,» noted the analyst.

Conversely, a trader known as Daan Crypto suggested that a correction in Bitcoin could occur following the agreements made between the two largest economies.

«Theoretically, if trade uncertainty was driving the price up for digital gold, the asset should stop appreciating after the U.S.-China deal is finalized,» the expert explained.

Vincent Liu, the investment director of Kronos Research, told [The Block](https://www.theblock.co/post/353892/bitcoin-trades-near-104000-analyst-says-new-all-time-high-plausible) that Bitcoin’s rise is supported by a «strong technical momentum.» He explained that the cryptocurrency is trading above its 50- and 200-day moving averages.

«Growing institutional acceptance and a positive outlook for 2025 suggest a potential path to another peak,» the expert added.

However, BTC Markets analyst Rachel Lucas pointed out that the Relative Strength Index (RSI) for Bitcoin indicates overbought conditions.

«This doesn’t necessarily mean an immediate reversal, but it increases the likelihood of some short-term cooling or sideways movement. A retest and consolidation above the key psychological level of $100,000 would be a healthy development and could lay the groundwork for further growth,» she emphasized.

Despite the short-term spike, the price of the first cryptocurrency has barely changed over the past day. Some leading altcoins showed better performance.

In terms of weekly growth, Dogecoin and Ethereum significantly outperformed Bitcoin, adding about four times more than the digital gold’s 10% increase over the same period.

«We’re currently witnessing a classic rotation, as Bitcoin’s dominance reaches levels last seen before the 2021 bull market, leading capital to flow into altcoins,» suggested Min Young, an analyst at Presto Research.

It’s worth noting that Standard Chartered has urged investors to buy the first cryptocurrency and predicted its price will rise to [around $120,000](https://forklog.com/news/v-standard-chartered-prizvali-k-pokupke-bitkoina) in the fourth quarter.