Bitcoin (BTC) Eyes Breakout Above $103K as US-China Truce and SEC Plans Steady Markets

Bitcoin (BTC) is currently trading at around $103,429, maintaining a key support level as U.S.-China trade truce and SEC token rule plans provide some stability to the market. A breakout above the immediate resistance could signal a retest of last week’s high.

Bitcoin has slipped 1.9% in the past week as it encountered profit-taking pressure above $100,000 and ahead of today’s U.S. inflation figures. The recent buying spree in Bitcoin was largely driven by decreasing trade friction between the U.S. and China. However, investors are now showing caution and awaiting macroeconomic data to determine the next move.

This volatility in Bitcoin underscores how the cryptocurrency remains very sensitive to global risk sentiment, even at all-time highs. Any escalation in U.S.-China trade tensions or unexpected events could trigger significant market reactions in the coming week.

U.S.-China tariff truce provides short-term boost to markets

A 90-day truce in the U.S.-China trade war has provided some respite to market pessimism. The two superpowers agreed to pause new tariffs and resume talks in a move that has given a small lift to equities and crypto. However, overall market sentiment is still largely risk-sensitive.

The temporary de-escalation will allow both sides to focus on reaching a broader trade deal. In the meantime, investors are showing caution with macro data to guide the next move.

SEC plans on token rules to boost crypto confidence

In other developments, Chair Jay Clayton of the Securities and Exchange Commission (SEC) proposed a new regulatory framework for digital tokens, aiming to provide greater clarity for institutional adoption.

Clayton's proposals include clear classifications for tokens, streamlining exemptions and detailing the application process for token issuance. These plans were positively received by industry figures.

Elsewhere, American Bitcoin, a mining firm with ties to Eric Trump and Donald Trump Jr., announced its intention to list on the Nasdaq Stock Market through a merger with Gryphon Digital.

Hong Kong-based Animoca Brands also confirmed plans for an initial public offering (IPO) in the U.S., showcasing the global interest in crypto-linked stocks.

BTC bulls eye $103.4K breakout

Bitcoin has bounced strongly from the $101,940 support which is the 38.2% Fibonacci retracement and an ascending trendline. It’s now testing the 23.6% Fib resistance at $103,394. A confirmed breakout could target:

The 50-period Exponential Moving Average (EMA) at $102,697 is providing support for the bullish structure. Keep an eye out for a MACD crossover or volume spike to confirm the breakout.