Bitcoin Rallies as Trade Negotiations Resume in London
Bitcoin surged to $108,000 on Monday, marking a fresh upswing as investors bet on progress in trade negotiations between the United States and China. The world’s leading cryptocurrency briefly touched $108,900 before settling slightly lower, gaining 2% in 24 hours, according to Binance. The rally comes as high-level officials from both nations arrive in London for a critical round of talks aimed at easing months of tariff-driven economic strain.
US and China Seek to Revive a Fragile Trade Truce
Treasury Secretary Scott Bessent and China’s Vice Premier He Lifeng are expected to lead negotiations through Tuesday in a renewed effort to avoid a full-blown trade war. These talks follow a series of escalations that began in April, when President Donald Trump imposed sweeping new tariffs and launched a 90-day pause on most foreign import duties. Notably, tariffs on Chinese goods were excluded from the pause and raised to 145%, prompting a sharp downturn in investor confidence and a wave of retaliatory tariffs from Beijing.
Bitcoin’s Recovery From Tariff-Induced Slump
The spike to $108K reflects a dramatic turnaround from earlier lows. As tensions peaked, Bitcoin had fallen to a yearly low of $75,000 amid fears of economic decoupling between the world’s two largest economies. However, when Trump and Chinese President Xi Jinping reached a temporary agreement in Geneva last month to ease tariffs, Bitcoin rebounded sharply, hitting an all-time high of $111,000 on May 22.
Political Uncertainty Fuels Volatility
Despite that brief thaw, the agreement quickly unraveled after a dispute over Chinese exports of rare earth magnets. Trump accused Beijing of violating the terms of the deal in a heated Truth Social post on May 30: “China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US. So much for being Mr. NICE GUY!” The accusation reignited uncertainty, but last week’s 90-minute phone call between Trump and Xi opened the door once again for compromise.
Crypto Markets React to Diplomatic Signals
As trade officials prepare to meet in London, Bitcoin’s upward momentum is being driven by renewed hope that diplomacy will prevail. The outcome of this week’s negotiations could shape not just global trade policy, but also investor appetite for alternative assets like crypto, which tend to flourish in times of monetary uncertainty.
Institutional Interest Grows With IPO Wave
Another key driver of Bitcoin’s rally is growing institutional engagement with the crypto sector. Last week, Circle, the issuer of the stablecoin USDC launched a highly successful IPO on the New York Stock Exchange. Its stock jumped 168% on its first day, rising from $31 to $69. On Friday, Gemini, the crypto exchange founded by the Winklevoss twins, filed for its own IPO, highlighting a broader trend of crypto firms bridging into traditional finance.
Analysts Watch for Breakout or Reversal
Market analysts are closely watching whether Bitcoin will hold above $108,000 or fall back into the $105,000 support zone. Technical indicators suggest Bitcoin remains in a bullish pattern, but much depends on the outcomes of the U.S.–China talks. A favorable resolution could propel Bitcoin toward retesting its $111,000 high, while another diplomatic breakdown might trigger renewed selling pressure.
Market Experts See Strength in Bitcoin’s Outlook
Industry leaders view the latest surge as more than just short-term speculation. “While the IPO bump is likely short-term excitement, the long-term institutional positioning leads us to be bullish about Bitcoin’s continued performance in 2025,” said David Siemer, CEO of Wave Digital Assets, in an interview with Fortune. The sentiment among analysts suggests that as regulatory frameworks evolve and institutional adoption increases, Bitcoin’s trajectory may remain upward even amid geopolitical headwinds.
All Eyes on London as Crypto Holds Its Breath
As the US and China resume their high-stakes trade dialogue, the crypto world is watching closely. The meetings in London may determine not just the fate of global tariffs, but also the stability of markets that have become increasingly interlinked with diplomatic developments. For now, Bitcoin’s strong showing signals cautious optimism; but volatility remains just one headline away.
