Bitcoin soars to $109,400 after US-China trade agreement and global ceasefire talks restore investor confidence. Analysts predict further highs by 2025.
Article Date: 21 May 2025
Bitcoin smashed through previous records today, reaching an all-time high of $109,400, driven by global geopolitical relief and revived investor optimism.
Just nine days after the White House announced a 90-day trade agreement with China on May 12, Bitcoin surged over 26% in one month, according to Trading View data. The tariff pause eased global tensions and boosted appetite for both traditional and crypto assets.
“The suspension reduced fears of sudden re-escalation,” said Aurelie Barthere, lead analyst at Nansen. “It significantly restored risk sentiment across markets.”
Bitcoin’s rise reflects a wider capital rotation into digital assets. U.S. President Donald Trump’s earlier tariffs had sparked panic, dragging BTC to a low of $74,434 in early April. Now, with risk-on confidence returning, capital is flowing back.
“Rather than fleeing Bitcoin, investors now see it as a conviction asset in stable macro conditions,” said Jag Kooner of Bitfinex.
In addition to easing US-China tensions, Russia-Ukraine ceasefire talks, confirmed by Trump on May 19 in a social media post, added fuel to the rally. Trump’s call with President Putin suggested a diplomatic resolution may be underway.
As investors shift back into high-beta assets, analysts forecast further upside:
- Short-term target: $114,000 to $120,000
- Year-end projection: $132,000, based on money supply trends
“Growing fiat debasement continues to push Bitcoin adoption,” noted Jamie Coutts, chief analyst at Real Vision.
Still, market watchers warn that open interest and funding rates must remain stable to sustain the current rally.
