With the United States and China moving closer to a possible trade agreement, Bitcoin’s
$104,038.63
price reaction may offer clues about how the digital asset is used during global economic tension.
Some traders believe that if Bitcoin continues to perform well after a deal is confirmed, it may indicate that global trade concerns did not drive the recent price surge.
When President Donald Trump introduced new tariffs on Chinese goods in April, the S&P 500 and Nasdaq declined. Bitcoin, on the other hand, fell to around $75,000 but later rebounded and closed April near $95,000.
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Crypto trader @DaanCrypto noted in a May 11 post on X, “Theoretically speaking, if the trade uncertainty was what was making BTC outperform, it should stop outperforming after we hit the most important deal, which includes China”.
On May 11, the White House reported “substantial progress” in the ongoing talks with China, though no final agreement has been announced yet. Treasury Secretary Scott Bessent said more details would follow soon and described the discussions as “productive”.
If Bitcoin continues to rise even after a deal is finalized, @DaanCrypto suggests it would be fair to assume that tariffs have not played a major role in driving the price. Instead, other factors, such as market trends, investor interest, or upcoming events like the Bitcoin halving, could be behind the gains.
Recently, Michael Ellis, deputy director of the Central Intelligence Agency (CIA), shared his thoughts on Bitcoin and other cryptocurrencies. What did he say? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
