Bitcoin (BTC) Climbs to $98,933 as Market Reacts to Trump's Trade Deal Announcement

Bitcoin climbed to $98,933 on May 8, rising 2.6% in 24 hours, as markets reacted to President Donald Trump's announcement of a coming trade agreement.

Bitcoin price rose on May 8 as markets reacted to President Donald Trump’s announcement of a coming trade agreement.

What Happened: Bitcoin (BTC) climbed to $98,933 by 08:35 ET (12:35 GMT), gaining 2.6% over 24 hours. The surge follows a May 8 announcement on Truth Social by U.S. President Donald Trump, who said he would host a press conference in the Oval Office the following day to announce “a major trade deal with a very big and highly respected country.”

Trump added that the deal will be “the first of many.”

According to The New York Times, which cites three sources familiar with the discussions, the country is expected to be the United Kingdom.

Traders reacted to the news with optimism, as an update on Trump’s trade agenda was seen as a step toward easing global trade pressures. Tariffs have been a key concern for markets in recent months, with earlier moves by the Trump administration leading to volatility across equities and cryptocurrencies.

Bitcoin last reached an all-time high of $109,000 on Jan. 20, shortly before Trump’s inauguration. The asset fell sharply after the U.S. raised tariffs on China in April, dropping from over $88,000 to a low of $74,500. It has since rebounded steadily, supported by key exchange-traded funds inflows, a weaker dollar and improving investor sentiment.

In a separate but related development, Treasury Secretary Scott Bessent is also slated to meet with Chinese top officials in Switzerland this week.

This meeting is a significant step as U.S.-China relations have remained tense following the mutual tariff hikes in April. The encounter will be the first formal attempt to ease the tariffs stalemate, which had dragged Bitcoin down below $75,000 before its current rebound.

Bitcoin’s recent recovery has also been aided by other macro tailwinds. The Federal Reserve’s May 7 decision to keep interest rates in the range of 4.25% to 4.50% provided some comfort to markets, even as Fed Chair Jerome Powell highlighted “heightened uncertainty” due to Trump’s trade policies.

Powell noted the strength of the economy and the low unemployment rate as factors influencing the decision to hold off on further tightening. He acknowledged that inflation is still above the Fed’s target.

With momentum building and key macro conditions stabilizing, a move above $100,000 seems achievable in the coming days as bulls are now watching closely as Bitcoin approaches a key psychological level.