Bitcoin Holds $103K as Dow Dips: China Trade Talks Spark Crypto Hopes!
Bitcoin steadies at $103K as Dow falls 119 points amid U.S.-China trade talk rumors. Will a deal ignite a crypto rally? Dive in now!
Bitcoin (BTC) stabilized at $103,000 on May 10, 2025, after peaking at $104,000, as U.S. markets showed mixed results with the Dow Jones Industrial Average dropping 119 points (0.29%) to 41,249.38, while the Nasdaq edged up 0.0043%. The crypto market, now worth $3.2 trillion, is buzzing with optimism ahead of U.S.-China trade talks in Switzerland this weekend, which could ease tariff tensions and boost investor confidence.
What’s Happening?
Rumors of progress in U.S.-China trade negotiations, following a 90-day tariff pause in April, have calmed markets after April’s volatility, when Bitcoin dipped to $75,000. Spot Bitcoin ETFs hit a record $40.33 billion in cumulative inflows, with $117 million added Thursday, driving BTC’s 40% recovery. Altcoins like Ethereum (ETH) and Solana (SOL) rose 10-15%, fueled by $120 billion in market cap growth over 24 hours.
Rumors of progress in U.S.-China trade negotiations, following a 90-day tariff pause in April, have calmed markets after April’s volatility, when Bitcoin dipped to $75,000. Spot Bitcoin ETFs hit a record $40.33 billion in cumulative inflows, with $117 million added Thursday, driving BTC’s 40% recovery. Altcoins like Ethereum (ETH) and Solana (SOL) rose 10-15%, fueled by $120 billion in market cap growth over 24 hours.
Why It Matters
Bitcoin’s resilience, despite a 0.65 correlation with stocks, underscores its appeal as a hedge against a 9% weaker U.S. dollar. A China trade deal could lift equities and crypto, potentially pushing BTC to $105,000-$110,000. However, high leverage—$900 million in recent liquidations—signals volatility. If talks falter, BTC could test $91,594 support, risking a drop to $88,000. The Dow’s dip reflects caution, but Nasdaq’s tech-driven gain suggests selective optimism.
Bitcoin’s resilience, despite a 0.65 correlation with stocks, underscores its appeal as a hedge against a 9% weaker U.S. dollar. A China trade deal could lift equities and crypto, potentially pushing BTC to $105,000-$110,000. However, high leverage—$900 million in recent liquidations—signals volatility. If talks falter, BTC could test $91,594 support, risking a drop to $88,000. The Dow’s dip reflects caution, but Nasdaq’s tech-driven gain suggests selective optimism.
What’s Next?
Investors await trade talk outcomes, with Treasury Secretary meetings critical. Sustained ETF inflows and institutional buying, like MARA Holdings’ tripled Bitcoin stack, could fuel further gains. But China’s 125% tariffs or a hawkish Fed stance may cap the rally. Altcoins may outperform if funds rotate from BTC, as noted by FXStreet. Keep an eye on weekend news.
Investors await trade talk outcomes, with Treasury Secretary meetings critical. Sustained ETF inflows and institutional buying, like MARA Holdings’ tripled Bitcoin stack, could fuel further gains. But China’s 125% tariffs or a hawkish Fed stance may cap the rally. Altcoins may outperform if funds rotate from BTC, as noted by FXStreet. Keep an eye on weekend news.
What’s your take on Bitcoin’s next move? Comment below and follow trafy.io for more crypto updates!
NOTICE:
The information provided on trafy.io does not constitute investment advice or recommendations. All investment and trading activities involve risks, and readers are advised to conduct their own research before making decisions.
NOTICE:
The information provided on trafy.io does not constitute investment advice or recommendations. All investment and trading activities involve risks, and readers are advised to conduct their own research before making decisions.
