Bitcoin Climbs Above $97K Amid U.S.-China Trade Talks, But Market Cautious on Timing of Deal
Bitcoin (BTC) surged past $97,000 during early Asian trading hours, as markets responded positively to reports that the U.S. and China are working on a trade agreement. However, despite the optimism, many traders remain doubtful that a deal will be finalized soon, with expectations low for any resolution by June.
Chinese state media reported that the U.S. has reached out to China through multiple channels in hopes of resolving tariff disputes. The news was seen as a sign of progress, giving Bitcoin a lift, but market participants are wary, with betting odds on platforms like Polymarket suggesting only a 20% chance that a deal will be completed by June. The concern stems from the political complexities and the ongoing hawkish stance from the White House, which could delay any potential agreement.
On the altcoin front, Dogecoin (DOGE) led the major cryptocurrencies with a 4% gain in the last 24 hours, while Cardano (ADA), XRP, ether (ETH), and Binance Coin (BNB) rose between 1-3%. Overall, the CoinDesk 20 index saw a 2.2% increase, signaling positive momentum in the broader market.
Movement’s MOVE token, however, continued to slide, down 21% after the company confirmed the suspension of founder Rushi Manche. The suspension follows a CoinDesk report on possible token manipulation involving the 21-year-old executive, casting a shadow over the company and its token’s performance.
Despite the challenges faced by individual tokens, the overall cryptocurrency market is showing signs of strength, with Bitcoin’s price maintaining levels above $90,000. Many analysts believe that Bitcoin could soon reach the coveted $100,000 mark as institutional interest and strong liquidity continue to support the market.
According to Flowdesk, a trading and technology group, there is growing momentum in the crypto space, driven by increased spot buying, rising altcoin activity, and significant institutional demand. Flowdesk noted that the liquidity in the market remains robust, with strong weekend activity and rising volumes. Bitcoin ETF inflows have also surged, reaching $1.5 billion, highlighting growing institutional interest in the cryptocurrency space.
In a related development, Strategy’s continued purchases of Bitcoin are fueling further optimism, with Michael Saylor announcing that the firm is raising $21 billion to buy more BTC. Presto Research commented that investors are increasingly impressed with Strategy’s institutional sophistication, particularly with its new valuation models like BTC Torque.
Kava’s AI Platform Surges as Decentralized Solutions Gain Popularity
In the AI sector, Kava Labs has seen a surge in interest, as the company announced it had surpassed 100,000 users on its decentralized AI platform. The news helped boost the AI token market by 3%, outperforming the broader CoinDesk 20, which rose 1.8%.
Scott Stuart from Kava Labs explained, “Kava offers verifiability and privacy, which sets it apart from centralized AI systems. Our platform is gaining traction with Web3 users who seek alternatives to the traditional, opaque AI models controlled by a few large corporations.”
The growing interest in decentralized AI platforms like Kava highlights a broader shift toward transparency and control within the AI space. As users increasingly demand decentralized, open solutions, Kava’s platform could become a leader in the industry, providing a valuable alternative to the centralized systems that dominate the market today.
