Bitcoin topped $100,000 on Thursday for the first time since early February, bolstered by a wide-ranging deal between the United States and the United Kingdom in a sign that perhaps U.S. President Donald Trump’s trade war with the rest of the world is easing.
By midday, bitcoin was trading at $101,329.97, a 4.7% gain on the day. The world’s biggest cryptocurrency has clawed its way back into positive territory for the year.
Although it remains below the record high of more than $109,000 reached in January, just a few hours before the inauguration of US President Donald Trump.
Bitcoin broke through the symbolic $100,000 threshold for the first time in December 2024.
“Now that the United States appears more reasonable and concludes agreements with other countries, cryptocurrencies are on the rise again,” said Stephane Ifrah, analyst at crypto platform Coinhouse.
The Republican leader vowed to support cryptocurrencies during his campaign for a second White House term.
But a wave of US tariffs unleashed on countries around the world dampened financial markets, causing a wave of uncertainty.
Even though they were not directly concerned by the Trump tariffs, cryptocurrencies have a reputation for volatility, and investors swiftly fled for safer havens such as gold.
The sector has also been dealt several blows amid scandals such as the collapse of the cryptocurrency $LIBRA, once backed by Argentine President Javier Milei.
The price collapsed after a handful of early investors decided to sell at a huge profit, causing colossal losses for the majority of those who purchased $LIBRA.
It also dragged down prices of other cryptocurrencies, including bitcoin.
Argentine prosecutors are reportedly examining whether Milei engaged in fraud or criminal association, or was in breach of his duties, when he praised the $LIBRA cryptocurrency on social media in February.
Also in February, Dubai-based cryptocurrency exchange Bybit reported that hackers stole $1.5 billion worth of digital assets in what marked the largest crypto theft in industry history.
In early April, bitcoin dropped to $75,000.
“Bitcoin is strong in line with the stock market,” said Charlie Morris, analyst with ByteTree.
“The UK trade deal is one good reason to be bullish because many more trade deals are likely to follow.”
In late April, the UK government published draft legislation aimed at regulating cryptocurrencies like Bitcoin and Ethereum, after the European Union introduced its framework.
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