Bitcoin Surges Past $103,000 on Growing Optimism About Potential Fed Rate Cuts and Signs of Institutional Interest

Bitcoin has surged past $103,000 amid growing optimism about potential Federal Reserve interest rate cuts and signs of institutional interest.

Bitcoin surged past $103,000 on Friday, amid growing optimism about potential Federal Reserve interest rate cuts and signs of institutional interest, while U.S. and U.K. trade agreement sparked positive reactions in broader markets.

Bitcoin’s upward momentum has been persistent, and as markets reacted positively to easing trade tensions, traders anticipations of economic shifts were key in driving the cryptocurrency to new highs. “This price action strengthens the view that Bitcoin should be considered a safe-haven asset amid global uncertainty,” noted ARK Invest in its April report.

Bitcoin traded as high as $103,460 early Friday in Asia, marking an increase of over 6% within 24 hours. Among altcoins, Ethereum saw the most significant gains, surging by 20% to pass the $2,200 mark for the first time since March. Solana and Cardano also experienced gains exceeding 10%, while gold prices dropped over 2%. This signaled a shift from traditional hedges to more volatile assets. “The flow indicates growing optimism as traders position for further upside,” remarked QCP Capital in a recent note, highlighting strong demand for call options expiring in May and June.

With Bitcoin remaining above the critical $100,000 milestone, traders are recalibrating their positions for potential further gains. This follows President Trump’s announcement of a “major” trade deal with the U.K.—his first since taking office—which, despite initial optimism, drew skepticism from analysts regarding its economic implications.

Economists described the arrangement as largely inconsequential, focusing on minimal tariff adjustments and quota relief for U.K. auto and steel exports. In response, U.S. equity indexes showed notable gains; the S&P 500 increased by 0.6%, and the Nasdaq saw a rise of 1.1%. Conversely, the FTSE 100 dipped slightly by 0.3%, reflecting a more subdued sentiment in London.

Notably, ARK Invest highlighted a reinforcing case for Bitcoin in its April report, citing a net inflow of 29,800 BTC into U.S. spot ETFs—the highest since November—and a decline in exchange balances to their lowest level since 2018. As traders adjust to the current market dynamics, the prevailing sentiment supports Bitcoin emerging as a safe-haven asset amid ongoing global uncertainties. This situation will be closely monitored as institutional interest and macroeconomic conditions continue to shape the cryptocurrency landscape.