Bitcoin Surges Past $87,000 as Market Optimism Grows

Bitcoin (BTC) $94,428 experienced a rapid surge on the first day of the week, driven by growing optimism surrounding the United States’ global trade agreements. According to CoinMarketCap data, Bitcoin traded at around $84,000 early in the day, quickly rising to surpass $87,000 and achieving a 2.1% gain throughout the day. This movement sparked a sense of optimism in the broader cryptocurrency market, positively impacting the prices of several leading altcoins.

Bitcoin Aims for $90,000

Last week proved to be quite tumultuous for Bitcoin. Weekly data from CoinMarketCap revealed that the largest cryptocurrency struggled to surpass the $86,000 mark, with its price dipping to as low as $83,200 at one point. However, particularly favorable developments over the weekend helped to elevate Bitcoin’s price.

With this surge, the impacts of the sharp decline experienced earlier in the month began to diminish. Bitcoin had previously fallen to $75,000 due to President Donald Trump‘s imposition of additional tariffs of at least 104% on Chinese goods. Recent statements by Trump have heightened expectations that the trade war could ease, improving investor sentiment.

Trump indicated that the White House has resumed tariff negotiations with China, providing hope to the markets. Experts believe that a reduction in trade war concerns could pave the way for a new wave of growth in the cryptocurrency market. This situation is considered critical for Bitcoin, with potential price movements closely tied to the results of these negotiations.

One of the main reasons for Bitcoin’s sudden rise is attributed to the new Bitcoin purchase made by the publicly-traded Japanese company Metaplanet. The company’s CEO, Simon Gerovich, announced today that they have acquired more BTC. Additionally, cryptocurrency research firm 10x Research suggested that Bitcoin might be poised for significant growth shortly. According to the firm, the downward compression pattern forming in BTC price could set the stage for a sharp upward breakout.

Altcoins Follow Bitcoin’s Lead

Bitcoin’s rise also positively influenced other major altcoins such as Ethereum (ETH) $1,803, XRP, and BNB. Ethereum saw a 1.4% increase throughout the day, while XRP gained 1.5%. Popular meme coin Dogecoin $0.169246 (DOGE) and BNB both rose approximately 1.4%, and Cardano $0.66106 (ADA) saw an increase of around 1%. However, Solana $145 (SOL) did not manage to capture the small rally seen by other altcoins.