Bitcoin traded above $99,000 in Asia early Thursday, driven by positive macroeconomic signals and growing institutional interest. One analyst suggested a retest of Bitcoin's all-time high is possible if it sustains above $100,000.
According to The Block, Bitcoin later fell back to $98,938 as of 1:40 a.m. ET, marking a 2.64% increase in the past 24 hours. The cryptocurrency reached a local high of $99,400 earlier in the day.
The rally was initially fueled by U.S.-China trade negotiation headlines on Wednesday, according to Presto Research Analyst Min Jung. U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are scheduled to meet with Chinese officials in Switzerland this weekend.
The Federal Open Market Committee's decision to keep U.S. interest rates steady on Wednesday was perceived by investors as a signal to remain in a "risk-on mode." Trump's announcement of a trade deal with the United Kingdom on Thursday, according to the Wall Street Journal, further influenced the market.
BTC Markets' Lucas noted that the rally is supported by post-halving supply constraints, institutional infrastructure development, and increasing macro interest in non-correlated assets. The 12 U.S. spot Bitcoin ETFs have seen over $5 billion in net inflows since April 25, according to SoSoValue data.
Lucas anticipates short-term volatility but maintains a constructive outlook on the broader trend.
This article is based on our author's analysis of materials taken from the following resources: The Block, Wall Street Journal, SoSoValue.