Bitcoin Updates: U.S.-China Trade Agreement Brings Temporary Relief to Crypto, Yet Uncertainty Remains

The recent U.S.-China trade agreement, revealed by President Donald Trump, has brought a sense of cautious hope to the cryptocurrency sector. The Crypto Fear & Greed Index has risen from 33 to 37, hinting at a possible rebound from previous high fear levels. This deal, which delays increased tariffs on Chinese goods until November 10, 2026, is intended to bring stability to global markets and, by easing trade war tensions, may help the crypto market recover, according to

. Market observers, such as Michael van de Poppe from MN Trading Capital, believe that the sharp decline on October 11—when $19 billion in crypto was liquidated—could signal the end of the current bearish phase, as discussed in . Although and have seen slight price increases, the market is still categorized as being in a "Fear" state. Experts recommend patience as institutional trust is gradually restored, according to a TradingView article.

The effect of the trade agreement on crypto sentiment has been mixed. While the pause in tariffs has reduced immediate concerns, the market has not experienced a significant rally. Bitcoin is currently valued at $110,354, a 0.26% increase over the past day, and Ether has climbed 0.84% to $3,895, as reported by

. Still, the total crypto market capitalization has fallen by 1.4% to $3.76 trillion, indicating ongoing uncertainty, according to . Analysts, including Derek Lim from Caladan, warn that China’s silence on critical matters—such as rare earth exports—could lead to further market swings, as mentioned in .

Historically, changes in trade policy have had a direct impact on crypto market movements. For example, when Trump announced a 90-day halt to tariffs on April 9, the Fear & Greed Index jumped from a low of 18 ("Extreme Fear") to 39 in just one day. In contrast, his October warning of 100% tariffs led to $19 billion in liquidations and sent the index back down to 18. While the current agreement is seen as positive, it has not yet triggered a strong risk-on response. Traders such as Ash Crypto and 0xNobler have described the deal as "Bullish for markets" and "GIGA BULLISH NEWS," but many investors remain cautious.

Broader economic factors add to the complexity. The Federal Reserve’s recent decision to lower interest rates by 25 basis points and its intention to end quantitative tightening by December have created a more favorable backdrop for crypto. However, disagreements within the Federal Open Market Committee and uncertainty about future rate cuts have tempered immediate enthusiasm.

Key Points

- : The postponement of U.S.-China tariffs until 2026 is designed to calm markets, and crypto analysts see it as a possible spark for recovery.

- : The increase in the Fear & Greed Index to 37 indicates that extreme fear is subsiding, though caution persists in the market.

- : Analysts like van de Poppe believe the October downturn marked a "bottom day," potentially setting up Bitcoin and other cryptocurrencies for a prolonged upward trend.

As the crypto industry responds to these changes, investors are encouraged to keep an eye on both trade negotiations and central bank actions, as these will likely shape short-term volatility and long-term direction.