Bitcoin Rebounds as Trump Extends EU Tariff Deadline, US Futures Tick Higher

Bitcoin climbed again to $109,600 in late Sunday buying and selling as traders digested President Donald Trump’s resolution to delay a proposed 50% tariff on European Union items, providing markets a reprieve from ongoing international commerce tensions.

The transfer adopted a name with European Fee President Ursula von der Leyen on Sunday, throughout which the bloc requested extra time to finalize a commerce settlement.

U.S. fairness futures are edging increased. S&P 500 futures rose 0.9%, Dow futures added 0.8%, and Nasdaq-100 futures gained 1%, reflecting cautious optimism that the delay might ease transatlantic commerce pressures—not less than for now.

Trump had initially proposed a 20% tariff on most EU imports in April, later lowering it to 10% to permit time for talks. On Friday, he threatened to boost tariffs to 50% by June 1 if negotiations stalled, earlier than strolling again the timeline late Sunday.

The revised July 9 deadline now locations markets in a holding sample, with commerce coverage as soon as once more a supply of volatility throughout each conventional and digital property.

Nonetheless, sentiment seems to be holding for these betting on a positive end result to US commerce coverage. 

“Bitcoin has been buying and selling extra according to gold these days, reflecting its enchantment as a non-sovereign asset and inflation hedge,” Ryan McMillin, chief funding officer at crypto fund supervisor Merkle Tree Capital, advised Decrypt. “With international M2 surging in latest months, gold has already damaged to all-time highs—and now Bitcoin is catching up. We anticipate this development to proceed over the approaching months, with Bitcoin pushing towards US$120,000 and past.”

That is a worth goal backed by others, together with Pav Hundal, lead market analyst at crypto trade Swyftx.

“It’s not simple to separate the sign from the noise in a commerce warfare, and short-term positioning would possibly shuffle, however proper now, choices merchants are eyeing up $120,000, Hundal advised Decrypt. “On Derebit, there may be properly over half a billion {dollars} in notional quantity sitting on the $120,000 degree on the top of June contract.”

The EU, which exported greater than $600 billion in items to the U.S. final yr, had paused its personal retaliatory tariffs on $23 billion in U.S. imports, and is at present consulting on further measures focusing on $95 billion value of products.

Crypto markets had been broadly steady on Sunday. Ethereum hovered close to $2,550, whereas Solana and Avalanche posted modest positive aspects between 1% and a couple of%. 

Merchants are as soon as once more weighing geopolitical dangers in opposition to ongoing institutional inflows and upcoming macroeconomic indicators, together with this week’s recent U.S. core PCE inflation print, anticipated Friday.

Bitcoin’s rally misplaced momentum in April after the White Home unveiled a blanket tariff framework, triggering a pullback in leveraged positioning and weakening short-term bullish sentiment. Bitcoin fell almost 2% following Friday’s tariff threats.

“Tariff discuss might see a number of bumps alongside the way in which, and we hope to see some extra commerce offers introduced quickly,” McMillin added.

Analysts say digital property proceed to point out sensitivity to macro coverage cues, significantly the place financial situations and commerce dynamics intersect. Nevertheless, additionally they say the present rally in crypto feels extra structurally sound than earlier cycles.

“The broader backdrop continues to skew bullish,” Singapore-based QCP Capital wrote in a be aware on Friday. “A extra accommodating U.S. regulatory setting, coupled with persistent institutional inflows by way of each ETFs and direct spot allocations, is fostering structural demand.”