Bitcoin News Today-Bitcoin Inches Toward $100K as Trump Teases Major UK Trade Deal

Bitcoin News Today- Momentum Builds Ahead of Potential All-Time High

Bitcoin News Today– Bitcoin is inching closer to the symbolic $100,000 milestone, fueled by rising speculation that former U.S. President Donald Trump is on the verge of announcing a major trade deal with the United Kingdom. The news has sparked optimism among Bitcoiners, who believe this political development could be the catalyst for a new all-time high in the crypto market.

Trump’s Post Ignites Market Hype

On May 7, Trump posted on Truth Social that he would soon announce a “major trade deal” with a “big, and highly respected, country.” Although he didn’t specify the nation, The New York Times later reported—citing sources familiar with the matter—that the deal in question would involve the United Kingdom.

Almost immediately following the post, Bitcoin’s price surged from around $97,759 to $99,140, according to CoinMarketCap. The rally brought the price within striking distance of $100,000, a key psychological level that has traders watching closely.

Market Analysts Link Rally to Political News

Some market analysts are attributing Bitcoin’s surge directly to Trump’s statement. Charlie Sherry, head of finance at Australian crypto exchange BTC Markets, told Cointelegraph:

As everyone else was looking down and calling for lower, Bitcoin’s price did the opposite. As is often the case in markets, just when consensus leans heavily bearish, price bottoms form and new market structures start to emerge.

Sherry suggested the possibility that the trade deal news was already being priced into the market:

While we may see psychological resistance at the $100k mark, it seems inevitable Bitcoin puts another zero on the board.

Crypto entrepreneur Anthony Pompliano also weighed in, saying the deal “means odds are increasing we hit new all-time highs in 2025.”

Historical Context and Price Movement

Bitcoin last reached an all-time high of $109,000 on January 20, coinciding with the day of Trump’s inauguration. The current rally is reviving hopes that a new record could be imminent, especially as macroeconomic and geopolitical events converge in Bitcoin’s favor.

Sahib Anandsongvit, CEO of Pandora, highlighted the recent price momentum, saying:

“I can’t stop to think how Bitcoin was $80,000 only a few weeks ago.”

He pointed out that the price surged from $80,000 on April 11 to above $90,000 by April 22, showing rapid growth within a short span.

Federal Reserve and Market Sentiment

Adding fuel to the fire, the U.S. Federal Reserve recently announced that it would maintain interest rates between 4.25% and 4.50%, despite growing pressure from Trump to cut them. Lower interest rates are typically bullish for risk assets like Bitcoin, and the Fed’s decision could be contributing to the positive sentiment.

Meanwhile, market participants are displaying increased optimism. The Crypto Fear & Greed Index, a popular tool for gauging market sentiment, currently shows a score of 65—classified as “Greed.”

Short Sellers Feel the Heat

The rising price of Bitcoin has resulted in the liquidation of approximately $96 million in short positions over the past 24 hours, according to data from CoinGlass. This adds further upward pressure on the price, as liquidated positions often trigger automatic buy orders to cover losses.

Short positions are created when traders borrow Bitcoin to sell at current prices, hoping to buy it back later at a lower price. However, if the price moves in the opposite direction, as it has recently with Bitcoin, these traders are forced to close their positions by buying back Bitcoin to cover their losses. This buying activity further drives up the price, creating a feedback loop that can result in rapid and sharp price movements, particularly in a volatile market like cryptocurrency.

In the past 24 hours, the liquidation of these short positions has amplified the bullish momentum surrounding Bitcoin. The combination of strong demand, market optimism, and the cascading effect of short squeezes has contributed to Bitcoin’s movement toward psychological resistance levels, such as the $100,000 mark. Traders who were previously betting on Bitcoin’s price decline have now added to the buying pressure, and this dynamic is expected to continue as long as the price maintains its upward trajectory.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.