Bitcoin surpasses the $105,000 threshold after the U.S. and China have reportedly agreed to drastically roll back trade tariffs on each other’s goods for a 90-day period.
According to a joint statement, the trade deal breakthrough came after a weekend-long marathon of trade negotiations that took place in Geneva, Switzerland. The U.S. has declared that it would temporarily cut down its tariffs on Chinese goods from 145% to 30%.
On the other hand, China has agreed to lower its tariffs on American imported goods from 125% to only 10%. Two of the largest economies in the world have also agreed to establish “a mechanism to continue discussions about economic and trade relations.”
These discussions will be led by Chinese Vice Premier He Lifeng, U.S. Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer.
This announcement became a breath of fresh air amidst fears of an economic recession. Both the Chinese yuan and the U.S. dollar have been on the rise since the joint statement. For the crypto market in particular, it provided a much needed boost that further propelled Bitcoin (BTC) to highs previously seen at the start of the year.
According to data from crypto.news, Bitcoin managed to break through the $105,000 threshold. At press time, the largest cryptocurrency by market cap has gone up by 1.75% in the past 24 hours. It is currently trading hands at $105,505, reaching its highest peak of the day so far.
Bitcoin’s market cap currently stands at $2.09 trillion, rising by around 1.76% in the past 24 hours. BTC’s daily trading volume has also experienced a surge following the price jump, increasing by 17.8% compared to the previous day. BTC has been in an ongoing rally since the beginning of the month, rising by 25% in the past 30 days.
News of the temporary tariff cuts between the U.S. and China have not only affected BTC, other major tokens like Ethereum (ETH), Ripple (XRP), and Solana (SOL) have also been pulled along. So far, Ethereum has gone up by more than 2.7%, almost reaching $2,600. Meanwhile, XRP has increased by 2.17% to $2.41 and Solana has soared by 1.6%.
