With the easing of trade tensions, Bitcoin has turned its face upwards.

U.S. President Donald Trump signaled a relaxation in his tariff policy that has shaken global trade balances and plunged markets into uncertainty. In an announcement on his social media platform Truth Social, Trump stated that he would hold a press conference in the Oval Office on Thursday to discuss "an important trade agreement with representatives of a large and very respected country."

Although Trump's statement did not provide information on which "great and respected country" the trade agreement would be made with, sources in the White House speaking to both the New York Times and Bloomberg said that the agreement would be made with the United Kingdom, but no details were shared.

It is a well-known fact that bilateral trade agreements between countries go through quite extensive processes and often take years to complete. However, the mere possibility of signing an agreement with one of the largest trading partners under Trump's aggressive tariff policy was enough to soothe the markets' hearts. The S&P 500, Dow Jones, and Nasdaq indexes closed Wednesday, May 7, with modest but upward results.

Bitcoin has reached the 100 thousand dollar band

Signs of relief in the stock markets have allowed risky assets like cryptocurrencies to appreciate in value. The total value of the cryptocurrency market has increased by 2.6% in the last 24 hours, rising to the level of 3 trillion dollars. The largest cryptocurrency by market value, Bitcoin (BTC), has recorded an increase of approximately 2.5% since yesterday, nearing the 100 thousand dollar mark. As of the time of writing, BTC was trading at 99 thousand 350 dollars.

After the Pectra update, Ether saw a 5% increase

Ethereum, which hosts smart contracts and ranks just behind Bitcoin in terms of market capitalization, implemented the Pectra update on Wednesday, May 7. The new update aims to address the issues Ethereum has faced in key areas such as scalability and speed. Ethereum co-founder Vitalik Buterin stated the following regarding the new Pectra update: "Ethereum will progress in a more accurate and robust direction." The update, which has been successfully activated on its mainnet, has allowed Ethereum's cryptocurrency Ether to gain 5% in value over the last 24 hours, changing hands at $1,928, benefiting from the upward trend in the market.

Confirmation has arrived from the United Kingdom

On the other hand, informed sources regarding the matter stated that the UK and the US are engaged in intensive discussions about an economic agreement that would reduce the impact of certain customs duties, and that a team of British officials is in Washington this week to negotiate the terms. The UK Department for Business and Trade stated earlier this week that the talks are "ongoing" but they would not comment on the details of the "live discussions" or set any timeline. The statement from the department said, "We will continue to demonstrate a calm and stable approach in the discussions and aim to find a solution that will help alleviate the pressure on UK businesses and consumers."

This article does not contain investment advice or recommendations. Every investment and trading action carries risk, and readers should conduct their own research when making decisions.