Key Points
- Bitcoin’s price increases amid optimism for a potential U.S.-China trade agreement and softer tariff stance from the Trump administration.
- Bitcoin open interest in perpetual futures rises by 9%, indicating strong investor confidence in the digital asset market.
The recent surge in the price of Bitcoin (BTC) is primarily driven by the growing optimism surrounding a potential trade agreement between the U.S. and China.
This positive sentiment is further bolstered by the Trump administration’s softer stance on tariffs.
Growth in Bitcoin Futures Activity
Alongside the price increase, there’s been a 9% rise in open interest in Bitcoin perpetual futures. This suggests a strong investor confidence in the broader digital asset market.
Data from Coinglass reveals that total open interest in Bitcoin futures across major exchanges surged to 715,710 BTC, equivalent to $66.98 billion. This marks an 8.54% increase.
Notional open interest in BTC perpetual futures also saw a significant increase, climbing 10% to $17.83 billion. This was the largest single-day jump since March 2.
CME held the largest share, with 144,950 BTC, worth $13.55 billion. Binance followed with 119,480 BTC, valued at $11.18 billion, and OKX held 44,530 BTC, totaling $4.17 billion.
Crypto exchange Gate.io posted the most significant 24-hour rise in open interest, up by $8.27 billion to 88,490 BTC.
However, Bitunix experienced a surprising 2.40% drop, falling to 46,830 BTC. Despite this, the trading environment remained highly active, with 24-hour volume reaching $328.18 billion.
Funding rates turned positive, ranging between 5% and 10% annualized for both Bitcoin and Ethereum (ETH).
Market Momentum Fueled by Tariff Rollback Promises
The rally in Bitcoin and other altcoins is also attributed to the U.S.-based spot BTC exchange-traded funds (ETFs) recording a net inflow of $936.4 million on April 22. This inflow, led by Ark 21Shares ARKB with $267.1 million, marked the seventh-largest single-day inflow into Bitcoin-based investment products.
The rally was further sparked by comments from the U.S. Treasury Secretary Scott Bessent, who signaled progress in reducing trade tensions with China.
President Donald Trump later confirmed that tariffs on Chinese imports would be significantly lower than the previously imposed 245%. He also announced that Federal Reserve Chair Jerome Powell would not be replaced, stabilizing monetary policy expectations.
The rise in Bitcoin open interest is fueling excitement across the global crypto market, especially as Bitcoin has now overtaken silver and Amazon in global asset rankings.
At the time of this report, Bitcoin is the sixth most valuable asset globally. Data shows that the cryptocurrency reached a price of $93,740.88, a 5.83% increase in the past 24 hours. This increase has pushed its market capitalization to $1.86 trillion.
The market has responded positively to these developments, with Bitcoin’s trading volume rising by $59.4 billion, representing an increase of 61.18%.
