- Progress on US-China trade deal seen as potential first trigger for next crypto bull run.
- Analyst highlights factors aligning: Deal + Fed easing + Clarity Act + ETFs could ignite rally
- Trade war resolution expected to boost global investor confidence, benefiting risk assets
Signs of a breakthrough in the US-China tariff war are now sparking serious talk among crypto analysts about the key crypto bull run triggers finally falling into place. Progress in talks between the world’s two largest economies could lift a major source of macroeconomic dread, potentially clearing the path for renewed risk appetite.
Analyst @ThinkingCrypto1 zeroed in on this development, suggesting it might be the first domino in a sequence of events that, taken together, could ignite the next significant surge in the digital asset market.
Related: Markets Edge Higher on US-China Tariff News and a Bitcoin vs Tokenized Gold Showdown
US-China Deal De-Risks Macro; Is It the First Bull Run Trigger?
According to reports, the US and China have agreed on a potential trade deal ahead of a meeting between the Presidents of both nations. According to the US Treasury Secretary, Scott Bessent, the framework included a “final deal” on TikTok’s US operations and a deferral on China’s tightened rare earth minerals controls.
Reaching such an agreement reveals the intentions of both nations to de-escalate the current tension and chart a way forward, enhancing collaborations, particularly in trade. Bessent noted that he did not expect the US to enforce the 100% tariff on Chinese goods, earlier proposed by President Trump. Meanwhile, China is on track to resume substantial soybean purchases from the US.
Why Trade War Resolution Boosts Global Investor Confidence
It is worth noting that stocks in the US and other regions, including risk assets such as cryptocurrencies, plunged earlier this year after Trump threatened to impose heavy tariffs on international trade. China’s role in the development was massive, considering its status, alongside the US, as the world’s two largest economies.
Analysts expect a resolution of the issues between the countries to boost investors’ confidence and return liquidity into the market, with risk assets benefiting from the resurgence. Additionally, the other events outlined by the analyst above would potentially affect the crypto market positively and lead to a boom in digital asset prices.
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Source: https://coinedition.com/crypto-bull-run-triggers-align-trade-deal-fed-easing-etfs/
