Trump administration officials met with the Chinese delegation in London for the second day on Tuesday, as the two countries seek to strike a trade deal in the aftermath of a contentious tariff war.
Will US-China Trade Talks Be the Catalyst for Bitcoin’s $110K Breakthrough?
The world’s two largest economies have been locked in a room somewhere in the iconic Lancaster House located on the West End of London for a series of high stakes trade negotiations. U.S. President Donald Trump and his Commerce Secretary Howard Lutnick have indicated that the talks are “going well” but they’ve both been mum on details, leaving stock and crypto markets in a state of limbo.
China and the U.S. have been working on mending relations after Trump imposed a 145% tariff on Chinese imports. China retaliated with a 125% tax on American goods, but the two superpowers eventually came to their senses and agreed on a 90-day reprieve during which tariffs would drop to 30% on Chinese products and 10% on American goods.
And now, market sentiment appears mixed, as investors brace for a more permanent solution from the ongoing London negotiations. Stocks started out flat on Tuesday morning, but trended positive heading into the afternoon. Interestingly, bitcoin breached $110K early on, but had retreated to roughly $109K at the time of reporting.
“We’re doing well with China. China’s not easy,” Trump told reporters on Monday.
Overview of Market Metrics
Bitcoin ( BTC) was trading at $109,150.77 at the time of reporting, reflecting a 1.18% gain over the past 24 hours and a 2.20% increase for the week, according to Coinmarketcap. The cryptocurrency’s 24-hour price ranged from $107,701.64 to $110,561.42.
Trading volume surged 21.68% to $58.09 billion, as both institutional and retail traders increased their activity. Bitcoin’s total market capitalization rose to $2.16 trillion, up 1.09% since yesterday. However, despite the upward trend, BTC’s market dominance dipped 0.56% to 64.26%, likely due to capital flowing into altcoins.
In the derivatives market, BTC futures open interest saw a slight decline of 0.47%, settling at $75.50 billion. Coinglass data showed total liquidations of $4.79 million in the past 24 hours, split between $2.69 million in long positions and $2.10 million in shorts. This relatively balanced liquidation profile indicates a cautious market, most likely due to traders taking a wait-and-see approach until Washington and Beijing conclude their trade talks.
