Bitcoin (BTC) is showing an upward trend due to optimism about US-China trade negotiations and signs of reconciliation between Donald Trump and Elon Musk.
Geopolitical and social dynamic changes have boosted global markets. With Hong Kong stocks entering a bull market and the S&P 500 approaching February highs, Bitcoin is preparing to record a new all-time high (ATH).
Trade Diplomacy, Reigniting Risk Appetite
According to Beincrypto data, Bitcoin has risen almost 4% in the past 24 hours, approaching $110,000. Currently, BTC is trading at $109,275, steadily approaching the all-time high of $111,814 recorded on May 22, 2025.
This surge follows the resumed high-level US-China trade discussions at the historic Lancaster House in London on Monday, June 9.
"We are pleased to announce that Treasury Secretary Scott Bessent, Commerce Secretary Howard Routnig, and USTR Ambassador Jaymison Greer will meet with Chinese representatives regarding a trade agreement in London on Monday, June 9, 2025. The meeting will go very well." – Donald Trump, former US President, on Truth Social post
According to a Bloomberg report, the meeting lasted over 6 hours and is expected to continue until Tuesday, June 10.
Treasury Secretary Scott Bessent is leading the US delegation with Commerce Secretary Howard Routnig and USTR Ambassador Jaymison Greer. They are negotiating with Chinese Vice Premier He Lifeng on technology export controls and rare earth shipments.
The US is expected to ease export restrictions on chip design software and advanced materials. In return, it will increase access to China's rare earth supplies.
The Trump administration remains resolute in protecting advanced semiconductor technologies like Nvidia's H2O AI chips. However, Reuters reported that officials hinted at a broader willingness to compromise.
Bitcoin's strong recovery highlights an increased sensitivity to global macro changes. Controversial trader James Wynn anticipated market optimism in an X (Twitter) post on June 6.
"If this trade deal is resolved, it will be another signal that cryptocurrencies can rise again." – James Wynn, Trader, on X (Twitter) post
Trump-Musk Conflict Easing... Fueling Crypto Greed
Another positive factor for Bitcoin sentiment seems to stem from an unexpected reconciliation between Elon Musk and Donald Trump. Their online dispute shook the cryptocurrency market, causing approximately $1 billion in liquidations.
It appears that the world's richest person and the most powerful person are extending a hand of reconciliation.
JUST IN: Elon Musk sends a heart to President Trump pic.twitter.com/Tz4BDfOFus
— Eric Daugherty (@EricLDaugh) June 9, 2025
The easing of hostility between Musk and Trump is accompanied by a sharp change in investor sentiment. Bitcoin's rebound has pushed the cryptocurrency Fear and Greed Index into the "greed" zone. Traders interpreted the Musk-Trump reconciliation as a stabilizing factor amid broader volatility.
However, there are speculations that this conflict might be manipulated or planned.
"Trump-Musk conflict: Staged manipulation... They are manipulating the decline without directly participating... The sudden emergence of the Musk-Trump clash is no coincidence... Collaboratively, they are unsettling retail investors to pave the way for a new market surge." – Qmo, DeFi Researcher, on X (Twitter) post
Blockchain data supports this claim, showing whale wallets accumulating large amounts of BTC at the peak of the conflict.
Bitcoin's recovery highlights how closely the cryptocurrency market is tied to high-level diplomacy and narratives involving influential figures like Trump and Musk.
With US-China dialogue continuing today and Musk perceived as realigning with Trump, traders are watching for tension easing and potential policy clarity confirmation.
At the time of writing, Bitcoin is trading at $109,406, and altcoins have also begun to move. According to CoinGecko data, Ethereum has risen over 7% in the past 24 hours, while Solana (SOL) and Dogecoin (DOGE) have surged over 5%.
If the Tuesday session in London makes specific progress, Bitcoin could rise further and reach a new all-time high. Especially in a situation where the altcoin season narrative is gaining attention.
