Bitcoin News – May 7, 2025: BTC Nears $100K Following Trump’s Tariff Reduction Announcement
Key Takeaways
- Bitcoin surged past $98,300, nearing the critical $100K mark after Trump’s pro-trade policy remarks
- Former President Donald Trump announced a major tariff rollback on Asian tech imports
- BTC trading volume spiked 18% within two hours of the announcement, led by institutional flows
- Analysts expect a test of the $100K psychological resistance before Consensus 2025
- Market watchers view the move as a catalyst for broader crypto and tech stock rallies
Introduction: Trump’s Trade Move Sends Bitcoin Soaring
Bitcoin ($BTC) rallied aggressively on Tuesday, May 7, 2025, climbing to an intraday high of $98,317 following a policy announcement by former U.S. President Donald Trump. In a surprise press briefing, Trump pledged to roll back tariffs on over $300 billion worth of Asian semiconductor and electronics imports — a move widely interpreted as pro-growth and pro-risk assets.
The announcement sent shockwaves through global markets, with BTC leading the surge amid investor optimism around renewed demand for digital infrastructure and a reduction in inflationary trade friction.
Why This Matters for Bitcoin
Trump’s tariff rollback affects not only traditional tech firms but also hardware supply chains supporting crypto mining, AI, and Web3 infrastructure. Lower import costs for GPUs, ASICs, and semiconductors are likely to increase hash power investments and boost long-term network participation.
According to FTX Markets Research, this type of macro-political easing can mirror the 2019–2020 pre-halving run-up, when capital inflows surged into crypto as global trade normalized.
“This is the biggest signal to risk-on markets since the Fed pivot,” said Eleanor Zhao, Chief Macro Strategist at VelocityChain. “BTC just got a green light from the real economy.”
Bitcoin’s Price Action: Momentum Toward $100K
In the hours following Trump’s announcement, Bitcoin’s spot trading volume jumped 18%, with major inflows from Coinbase Prime, Binance, and Kraken Pro. Futures open interest also spiked by over $1.2B, according to CoinGlass.
The price broke above key resistance at $95K and has since hovered near $98K, with momentum traders targeting $100,000 as the next psychological barrier. If that threshold is crossed, it would mark a new all-time high (ATH), surpassing the previous peak of $91,860 in April 2025.
Technical indicators remain bullish:
- RSI still under 70 on daily charts
- MACD crossed positive on the 4H timeframe
- Whale accumulation wallets holding 1,000+ BTC rose by 3.2% this week
Industry Reactions and Political Implications
Crypto Twitter and institutional analysts were quick to react. Galaxy Digital’s Mike Novogratz praised the decision, saying it “restores confidence in supply chains critical to both tech and decentralized networks.”
Meanwhile, critics from the Biden administration argue the move lacks economic sustainability and may incentivize offshoring.
Still, among Bitcoin advocates, the broader takeaway is clear: reduced trade tension creates bullish sentiment, especially in an election season where crypto adoption and economic nationalism are politically entwined.
Final Thoughts
Bitcoin’s surge toward $100K is no longer just a speculative dream — it’s a technical reality taking shape in real time. Trump’s tariff rollback unexpectedly aligned traditional macro policy with crypto sector growth, offering the perfect backdrop for BTC to challenge its historical ceiling.
If momentum holds, the breakout could redefine market structure just ahead of Consensus 2025 and the next wave of institutional entries.
Disclaimer
This article is for educational purposes only and should not be considered financial advice. Always consult with a financial advisor before making investment decisions.
