Trump’s UK Trade Deal Propels Bitcoin Near $100K

Bitcoin Gains 3% Post-Trump’s UK Trade Announcement

Bitcoin saw a price increase of 3% in 24 hours following President Donald Trump’s announcement of a “major trade deal” with the UK. The current bullish trend appears rooted in heightened market optimism surrounding the event.

Trump’s social media post on May 7, referring to a “highly respected” trading partner, sparked widespread interest. Multiple media reports identified the United Kingdom, contributing to Bitcoin’s notable price shift.

Short Position Liquidations Hit $96 Million

The announcement has resulted in the liquidation of approximately $96 million in short positions. This surge in Bitcoin’s value reflects a shift in market dynamics, with growing optimism across the crypto industry.

Financial analysts express a cautiously optimistic view, with some noting that psychological resistance at $100,000 remains. Market momentum suggests a potential breach of this barrier, aligning with previous market reversal patterns.

“As is often the case in markets, just when consensus leans heavily bearish, price bottoms form and new market structures start to emerge… $100,000 could act as a psychological resistance, but momentum appears strong enough to surpass it.” — Charlie Sherry, Head of Finance, BTC Markets

Bitcoin’s Political Event Influence Analyzed

Historically, Bitcoin’s value tends to increase with major political events. Trump’s prior inauguration saw Bitcoin reach its all-time high of $109,000. Analysts draw parallels between these repeated patterns.

Industry experts like Charlie Sherry emphasize the market’s reversal tendencies during bearish periods. The current wave of optimism underscores Bitcoin’s volatile nature and its susceptibility to influential economic announcements.