By Elsa Ohlen

Bitcoin was nearing the psychological important level of $100,000 for the first time in three months as the first trade deal, since President Donald Trump's Liberation Day tariffs announcements, appeared imminent.

The world's largest crypto is up 2.3% to $99,284 over the last 24 hours, according to CoinDesk data.

Ether rose 4.2% and XRP gained 1.9% while futures tracking the S&P 500 were up 0.8%.

Trump is expected to announce a trade deal framework with the U.K. Thursday, The Wall Street Journal reported Trump teased the announcement in a post on Truth Social, saying it concerns a "major trade deal with representatives of a big, and highly respected country." He said a news conference would take place Thursday at 10.00 Eastern time.

Cryptos typically respond to macro events in the same way as other risk assets do. They drop when the economic climate sours or during times of increased market uncertainty, and vice versa. High tariffs could hit corporate profits and increase inflation, and the lack of clarity around the size of the levies has got investors nervous.

Keeping interest rates steady as expected Wednesday afternoon, Federal Reserve chair Jerome Powell cited "extremely elevated" uncertainty around the economy and the impact of potential reciprocal tariffs.

Clarity around tariffs, be it through trade deals or de-escalation with China, could push Bitcoin to $100,000 for the first time since early February.

Write to Elsa Ohlen at elsa.ohlen@barrons.com

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May 08, 2025 05:25 ET (09:25 GMT)

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