Bitcoin Surges Past $119,000 as US-China Tariff Truce Sparks Market Rally

• Bitcoin jumped nearly 2% to $119,380 and sits just 2.88% below its all-time high of $123,091. 

• The cryptocurrency market cap approaches $4 trillion while Bitcoin’s network hashrate hits a record 932 EH/s. 

• US-China trade talks about a 90-day tariff extension boost investor confidence across crypto markets.

Bitcoin has surged nearly 2% in the past 24 hours, climbing to $119,380 and moving closer to its all-time high of $123,091 set on July 13. The cryptocurrency trades just 2.88% below its record peak, fueled by optimism surrounding potential trade negotiations between the United States and China.

The Sunday price rally occurred despite declining trading volumes, with daily Bitcoin trading activity dropping 8.72% to $50 billion. This unusual combination of rising prices and lower volumes suggests strong underlying demand from institutional investors and strategic accumulation patterns.

Network Strength Reaches New Heights

Bitcoin’s network fundamentals continue to strengthen alongside price gains. The cryptocurrency’s hashrate hit a new record of 932 EH/s, while network difficulty climbed to 127.62T. These metrics indicate growing mining participation and network security.

The broader cryptocurrency market has responded positively to Bitcoin’s momentum. BNB reached a new all-time high of $825, while Ethereum trades above $3,825. Ethereum futures markets showed particularly strong institutional interest, with CME futures open interest hitting a record $7.85 billion.

The global cryptocurrency market capitalization now stands at $3.94 trillion, approaching the significant $4 trillion milestone. Bitcoin’s performance continues to drive market-wide sentiment and institutional adoption trends.

Trade Negotiations Drive Optimism

Market analysts point to emerging reports of US-China trade discussions as a key catalyst for the current rally. According to the South China Morning Post, both nations are considering a 90-day extension of their current tariff truce agreement.

Delegations from the United States and China plan to meet in Stockholm for their third round of negotiations to resolve ongoing trade tensions. Sources familiar with the discussions indicate both countries will commit to avoiding additional tariffs while preventing further escalation of trade disputes.

The previous tariff pause in May removed heavy export tariffs for 90 days, creating favorable conditions for risk assets, including cryptocurrencies. June negotiations similarly coincided with Bitcoin price rebounds and broader market rallies.

President Donald Trump has expressed confidence about reaching multiple trade agreements before the August 1 tariff deadline. The administration recently secured a trade deal with Japan and is reportedly close to finalizing agreements with the European Union.

With strengthening network metrics and positive macroeconomic developments, Bitcoin’s current position near all-time highs suggests continued institutional interest in cryptocurrency assets. The approaching $4 trillion total market capitalization milestone represents another significant achievement for the digital asset ecosystem.