Market News

Bitcoin Surges Past $94K as Trump Eases China Tariff Concerns and Supports Fed Chair Powell

Bitcoin has recently eclipsed the $94,000 mark, ignited by President Trump's softened rhetoric regarding China tariffs and his assurance that he would not dismiss Federal Reserve Chair Jerome Powell.

During a press conference, Trump described the U.S. approach to China as “very nice” and hinted at significant tariff reductions should a deal be reached, reassuring markets about stability in monetary policy.

This positive sentiment led to a 6% jump in Bitcoin's price, marking its highest value in seven weeks, while the meme coin sector also surged by 14%.

Institutional interest in Bitcoin remained strong, with nearly $913 million flowing into U.S. spot Bitcoin ETFs, signaling confidence in the cryptocurrency's future.

Additionally, liquidations in the market totaled over $624 million, predominantly impacting short traders who were betting against Bitcoin's rise.

As sentiment shifts, prominent trader Eugene Ng Ah Sio expressed a pivot towards long positions in altcoins, acknowledging the renewed strength in the market.

The cryptocurrency's alignment with broader economic and political dynamics indicates a growing relationship to macroeconomic factors, particularly as the Fed navigates its monetary policies.

Trump's recent comments about Powell suggest an intention to maintain continuity, which has calmed investor fears over potential drastic changes in the Fed's approach.

Analysts highlight Bitcoin's rising appeal as a hedge against government instability, with increasing trust in cryptocurrencies as alternatives.

As the markets react, Bitcoin not only reflects the complexities of economic policies but also represents a beacon for investors seeking alternatives amid traditional financial uncertainty.