Bitcoin, Ethereum, Dogecoin Spike As Scott Bessent’s Gears Up For Trade Talks With China: Key BTC Stakeholders ‘Moving In The Right Direction’ Towards $100,000 Target, Says Analytics Firm

Leading cryptocurrencies spiked Tuesday on news that Treasury Secretary Scott Bessent will meet Chinese officials for trade talks.

What Happened: Following days of consolidation, Bitcoin recaptured $97,000 in the evening, reaching an intraday high of $97,625.81.

The rally also catalyzed Ethereum, pushing the second-largest cryptocurrency within touching distance of $1,850.

Over $326 million was liquidated from the cryptocurrency market in the last 24 hours, with nearly equal amounts of longs and shorts erased.

Speculative interest in Bitcoin soared, as evidenced by the 5% jump in Open Interest in the last 24 hours.

Meanwhile, the percentage of derivatives traders placing bullish long bets on Bitcoin increased to 53%, according to the Long/Short Ratio.

The market sentiment remained in the “Greed” zone, according to the Crypto Fear and Greed Index, suggesting a spike in buying pressure.

Top Gainers (24-Hours)

The global cryptocurrency market capitalization stood at $3 trillion, following a 2% increase in the last 24 hours.

Stocks closed the second straight session in the red. The Dow Jones Industrial Average fell 389.83 points, or 0.95%, to end at 40,829.00. The S&P 500 lost 0.77% to close at 5,606.91, while the tech-heavy Nasdaq Composite slid 0.74%, ending at 17,689.66.

The Fed’s decision on interest rates is expected to come Wednesday, with traders pricing in a 97% chance that the 4.25%-4.50% range will remain unchanged, according to the CME FedWatch tool.

Meanwhile, stock futures spiked Tuesday overnight after the Donald Trump administration confirmed that Bessent will meet Chinese officials for trade negotiations this weekend in Geneva.

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Analyst Notes: Blockchain analytics firm Santiment said Bitcoin’s key stakeholders were “moving in the right direction” to justify the $100,000 target in the near future.

“Wallets with the highest correlation with crypto’s overall market health (10-10K BTC wallets) have accumulated a combined 81,338 more BTC (+0.61% of their holdings) during these past 6 weeks of volatility,” the firm added.

Cryptocurrency analyst Michaël van de Poppe noticed Bitcoin’s “solid” chart and expected the apex cryptocurrency to go further north.

“I think we’ll continue the grind on Bitcoin upwards, the key factor here is whether Gold starts to correct after FOMC tomorrow, indicating that there’s the start of the business cycle,” Van De Poppe stated.

Photo Courtesy: Yalcin Sonat On Shutterstock.com

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