Crypto news today: Bitcoin surges past $97K as US, China signal trade talk breakthrough

Bitcoin surged ~3% to $97,200 after US and China signaled upcoming trade talks in Switzerland. US Treasury Sec. Bessent & China’s Commerce Ministry confirmed willingness to engage on tariff issues. US stock futures (Nasdaq 100, S&P 500) jumped ~1% on the positive trade negotiation news. A significant thaw in the often-frosty trade relations between the United States and China sent a jolt of optimism through global financial markets late Tuesday and into Wednesday, propelling risk assets, including Bitcoin, sharply higher. The positive momentum came as officials from both nations signaled a mutual willingness to engage in substantive discussions aimed at de-escalating the ongoing tariff conflict. The renewed hope for a trade resolution was sparked by key statements from both sides. US Treasury Secretary Scott Bessent announced plans to travel to Switzerland for trade talks with his Chinese counterparts over the upcoming weekend. “The current tariffs and trade barriers are unsustainable, but we don’t want to decouple,” Bessent stated, signaling a potential shift in the US approach. Echoing this sentiment, a spokesperson for China’s Ministry of Commerce confirmed Beijing’s readiness to engage. “Senior US officials have made a series of remarks hinting at adjustments to tariffs and have expressed, through various channels, a desire to engage with the Chinese side on tariff-related issues,” the spokesperson said, according to CoinDesk report. China has carefully evaluated these messages from the US side and, after fully considering global expectations, China’s own interests, and the appeals of American industries and consumers, has decided to agree to engage with the US. This news of impending high-level dialogue triggered an immediate positive reaction in markets. Bitcoin (BTC) surged approximately 3%, climbing to around $97,200. Futures contracts for major US stock indices also jumped, with both Nasdaq 100 and S&P 500 futures up about 1% in the hours following the announcements. Amidst trade hopes, Trump’s crypto ventures draw senate scrutiny While markets cheered the trade developments, a separate undercurrent of political and regulatory scrutiny emerged concerning President Donald Trump’s personal and business ties to the cryptocurrency industry. Senator Richard Blumenthal, the ranking Democrat on the Senate Permanent Subcommittee on Investigations, initiated a preliminary inquiry into potential conflicts of interest and legal violations stemming from these ventures. On Tuesday, Senator Blumenthal dispatched letters to executives associated with Trump-affiliated crypto entities, including Bill Zanker of Fight Fight Fight LLC (linked to the TRUMP memecoin) and Zach Witkoff, a co-founder of World Liberty Financial (associated with the USD1 stablecoin). The letters also targeted entities like CIC Digital LLC (involved in Trump’s NFTs) and DTTM Operations LLC (manager of Trump’s IP rights). “The Permanent Subcommittee on Investigations is conducting a preliminary inquiry into potential conflicts of interest and violations of the law from President Trump’s cryptocurrency ventures ... and associated businesses’ financial dealings with foreign nationals, foreign governments and other cryptocurrency firms,” both letters stated. They explicitly questioned whether these businesses “may be enabling the violation of government ethics requirements.” The inquiries seek detailed information regarding ownership structures, investment sources (particularly concerning foreign governments), revenue generation, and protocols for identifying or blocking participation by individuals facing prosecution or investigation. Blumenthal also requested records tied to these Trump-affiliated crypto businesses. As Democrats are in the Senate minority, Blumenthal currently lacks subpoena power for this inquiry unless his Republican counterpart, Senator Ron Johnson, co-signs the effort. Senator Johnson’s office did not immediately respond to a request for comment. This Senate probe reflects a broader unease among Democrats regarding Trump’s crypto activities. Earlier this week, Representative Maxine Waters, the leading Democrat on the House Financial Services Committee, objected to a joint hearing on crypto market structure legislation, opting instead to host a separate hearing focused specifically on these crypto tie-ups. Furthermore, a recent statement from Senator Ruben Gallego and several other Senate Democrats, indicating they would not support the current iteration of the Senate’s stablecoin bill, also appears linked to these concerns. A key trigger was the announcement by Eric Trump that Abu Dhabi-based investment firm MGX would use the Trump-affiliated USD1 stablecoin for a $2 billion investment into the Binance cryptocurrency exchange. Adding to the legislative pressure, Senator Chris Murphy introduced a bill on Tuesday aimed at banning the US president and other senior government officials from issuing memecoins or other financial assets. While financial markets reacted positively to signs of a potential US-China trade détente, the unfolding scrutiny of President Trump’s personal crypto dealings introduces a new layer of political and regulatory complexity for the digital asset industry in Washington.