Bitcoin has regained the $100,000 mark for the first time since February 2025, driven by increased investor optimism after the news of a U.S.-U.K. trade agreement. The move has boosted the cryptocurrency market, with altcoins such as Ethereum and XRP also making significant gains. The rally highlights the macroeconomic events and policy changes’ sensitivity of digital assets.
Trade Agreement Fuels Market Optimism
The U.S.-U.K. trade agreement, termed by President Trump as a “breakthrough,” is intended to lower tariffs and improve market access for major industries, such as manufacturing and agriculture. Commerce Secretary Howard Lutnick emphasized that the deal would increase U.S. exports of machinery, beef, and ethanol. The reduction in trade tensions has been appreciated by investors, which has prompted a jump in risk assets. Bitcoin’s value increased 5.3% over 24 hours to $101,293, Ether rose 15%, XRP rose 7.3%, and Solana rose 11%.
The overall financial markets reflected the same optimism, with the S&P 500 rising 1.4%. Analysts credit the rally to better investor sentiment after the trade deal and hopes for a more positive regulatory climate for digital assets under President Trump’s administration.
Technical Indicators and Market Dynamics
Despite the bullish pressure, there are certain technical indicators that indicate possible resistance in the near future. According to on-chain analysis, the resistance level stands at $99,900, and the Relative Strength Index (RSI) shows weakening momentum. Also, the Coinbase premium, which measures the difference between the price on Coinbase and other exchanges, has indicated signs of divergence, indicating possible market indecision.
However, today’s market conditions witness an intense demand for digital assets in the face of macroeconomic uncertainty. The crypto market sentiment indicator hit 73, one point from extreme greed, a sign of strong investor optimism.
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