Bitcoin (BTC) resumes its uptrend due to signs of closeness between the US and China. This Monday, October 13, the digital currency was trading around $115,000, recovering from last Friday’s plunge, when it fell to $103,000 due to uncertainty created after US President Donald Trump’s comments.
The recovery began after a message on Trump’s social network Truth Social that read:
Don’t worry about China, everything will be fine. The highly respected President Xi has suffered a terrible blow. He doesn’t want a recession in his country, and neither do I. America wants to help China, not hurt it.
Donald Trump, President of the United States.
After this publication, Bitcoin started gaining momentum again. This reflected a change in investors’ risk perception. This can be seen in the following graph.
The optimistic view is also supported by analysis by financial institutions. “Recent policy moves suggest a wider range of possible outcomes than in previous U.S.-China talks,” wrote Goldman Sachs economists including Jan Hadzius and Andrew Tilton.
It added: “The most likely scenario is that both sides will back away from their most aggressive measures and that the talks will result in the moratorium on tariff increases reached in May, possibly extending indefinitely.”
It is estimated that if negotiations between the US and Chinese governments come to fruition, the resulting stability could benefit Bitcoin and all crypto assets (which tend to behave as “risk” assets). It is strengthening its position as an alternative asset amid global volatility.
This is considering the cryptocurrency market on Friday, October 10th. experienced the largest liquidation in historyCriptoNoticias reported that $20 billion was erased in just 24 hours.
(Tag translation) Bitcoin (BTC)
