Traders turn cautiously bullish as easing trade tensions revive risk appetite, with crypto markets rebounding from weekend losses.
Key Points:
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Bitcoin climbed back to nearly $110,000 after a weekend sell-off triggered by Trump’s tariff threats against the EU.
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The recovery gained momentum as Trump postponed the 50% tariffs on European goods to July 9, easing immediate trade fears.
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ADA (Cardano) and Dogecoin surged 3%, outpacing other major cryptos amid a broader rebound in risk assets.
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Global markets rallied in tandem—U.S. and European equity futures rose over 1%, while the dollar dipped to multi-month lows.
Weekend Sell-Off Reversed
Bitcoin had tumbled from 111,000∗∗to∗∗108,600 after Trump’s surprise threat of steep tariffs on EU imports, including Apple iPhones. The move triggered $500M+ in long liquidations across crypto derivatives, hitting BTC, ETH, SOL, and DOGE futures.
Traders Bet on Recovery
Market sentiment improved early Monday as traders interpreted the tariff delay as a sign of de-escalation.
Jeff Mei, COO of BTSE, noted:
“This weekend’s drop showed how vulnerable crypto is to macro shocks—but the swift extension of deadlines suggests the worst may be over. Traders are slowly re-entering positions.”
Options Turn Bullish
Singapore’s QCP Capital reported renewed demand for bullish BTC calls, including 1,000 contractsof the September $130K strike. The firm highlighted a “constructive medium-term setup”, citing:
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Strong Bitcoin ETF inflows
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U.S. regulatory progress
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Institutional demand, including MicroStrategy’s $2.1B raise for additional BTC purchases
