Bitcoin Prices Climbed Closer to the $100,000 Mark on Friday

Bitcoin prices edged closer to the $100,000 milestone on Friday, supported by ebbing worries over the US-China trade relations after Beijing said it was prepared to resume talks with Washington, a report by CNBC said.

The largest cryptocurrency was up 1.7% over the past 24 hours to $96,806 by 07:00 ET (11:00 GMT). It briefly touched $97,226 earlier in the session.

The crypto rally was also supported by MicroStrategy’s (NASDAQ:MSTR) announcement of a $21 billion equity offering to buy more Bitcoin, even as the firm reported its fifth straight quarterly loss.

The firm reported a net loss of $5.91 billion, or $5.04 per share, for the first quarter, compared with a profit of $1.33 billion, or $1.13 per share, a year earlier.

The stellar earnings in the year-ago quarter were driven by a $1.9 billion realised gain on its cryptocurrency holdings. But for the three months ended March 31, MicroStrategy reported a $5.91 billion unrealized loss on its Bitcoin investment.

But broader risk sentiment was buoyed by optimism over US-China trade negotiations. Both countries’ top trade officials discussed ways to resolve outstanding issues and agreed to keep in close contact, the Chinese Ministry of Commerce said on Thursday.

The remarks come after US President Donald Trump said on Monday that he expects to meet with Chinese President Xi Jinping at the upcoming G20 summit in Japan in late June to continue trade talks.

World stocks edged up to a seven-week high on Friday, extending the previous day’s rally as investors responded to signs of progress in the US-China trade talks and an improvement in global sentiment.

Cryptocurrencies also tend to move in line with equities and other risky assets, especially during periods of heightened market volatility.

While cryptocurrencies are not directly linked to supply chains or macroeconomic data, they are often subject to speculation and rapid price swings. This sensitivity to investor mood makes cryptocurrencies an interesting asset class to watch during times of heightened geopolitical uncertainty.

Among other major cryptocurrencies, Ethereum rose 1.4% to $1,838 by 07:00 ET (11:00 GMT), XRP edged up 0.5% to $2.22, Solana gained 0.6% and Cardano advanced 2.7%.

Dogecoin was trading higher by 3.3%, extending recent gains after a report by The New York Times on Monday highlighted how the memecoin had become a favorite among some Trump supporters at his rallies.

However, the memecoin $TRUMP slid nearly 5% and was pulling back from recent highs after rallying over 50% in late April. The token, which is a named after the US President, had soared to an all-time high of $18.88 on April 25.