Bitcoin’s rise to the $100,000 level at the same time as Trump’s Trade Deal with U.K. which has caught the eye of financial market investors. That which has renewed faith in U.S U.K. relations also has seen institutionals’ interest in digital assets grow.
Bitcoin Rally Gains Momentum
Bitcoin has seen great movement up from $80,000 in the middle of April to almost $100,00 at present. Trump’s Trade Agreement with the U.K. which he posted on Truth Social was that which gave the trigger, which in turn caused a wave of positive speculation. Right after he made that post Bitcoin was trading at over $97,700 and we saw a very strong up trend.
Also, we saw $96 million in short positions liquidated as prices went up. That is an aggressive move which indicates that buyers have taken over. At this time investors are very greedy which is also reported by the Crypto Fear Greed Index which is at higher levels.
Trump’s Trade Agreement with U.K. affects analysts’ view
Analysts report that the Bitcoin rise is mostly due to Trump’s Trade Deal with U.K. At FOMO21 co-founder Neil Jacobs and crypto investor Anthony Pompliano put forth this as a main factor. They also see in this trade achievement a go go for the 2025 all time highs.
Meanwhile we see Bitcoin break out of a pennant formation on the charts. RSI is at very high levels, indicating very strong bearish movement. But also caution is in place as we note lower volume which tells us that not all investors have fully jumped on board yet.
Brings in Investors
President Trump will put forth the deal from the Oval Office on May 8, 2025. At that time we may see reports of tariff reductions on cars and steel. Britain escaped Trump’s recent global tariffs thanks to a favorable trade balance which in turn gives it weight in the talks.
Timing is of the essence. Trump reported that he had been in talk with India, Japan, and South Korea recently. But the U.K. deal seems to have taken priority. It is put forth that the announcement is a component of Trump’s economic plan which in turn is having an impact in both fiat and crypto markets.
Trump’s Trade talk with U.K. Points to a Crypto Shift
While Bitcoin heads toward $100K we also see the role of large scale economic issues. The Fed left rates the same which in spite of pressure from Trump to drop them. Also we see traditional institutions like Morgan Stanley and MicroStrategy increasing their crypto plays.
MicroStrategy is going ahead with a $21B equity issue to buy more Bitcoin. Also of note is that these actions are a display of long term commitment to crypto which in turn is seeing traditional assets do relatively poor at the moment. The price of Bitcoin is at present a tell tale of investor faith in addition to its growing use as a financial hedge.
Conclusion
Trump’s Trade Agreement with U.K. has brought us to a crossroads in crypto history. We are seeing a revival of hope in a market that has been in need of direction. As Bitcoin reaches a psychological mark investors are still to see what Trump’s policies will bring us as far as catalysts go.
With support at $97,000 and resistance at $100,000 we are at a key level in the market. What Bitcoin does in response to this news will set the trend for the rest of 2025. For the time being the focus is still on the Oval Office and the crypto charts
