Bitcoin becomes the fifth largest asset globally! US and UK tariffs boost the surge, while China-US tariffs ignite the bull run?

At the beginning of May 2025, the global financial market is surging, and Bitcoin (BTC) is once again in the spotlight. Stimulated by multiple positive news, the price of bitcoin has not only hit the $100,000 mark for the first time in three months, but also successfully returned to above $2 trillion in total market capitalization, surpassing the global e-commerce giant Amazon (Amazon) in one fell swoop, jumping to become the world's fifth largest asset. Market analysis points out that the historic trade agreement reached between the United States and the United Kingdom, as well as the positive signals released by U.S. President Trump regarding U.S.-China trade negotiations, are short-term macro catalysts driving this round of increase. At the same time, the British government’s stance of seeking to strengthen cooperation with the United States in cryptocurrency regulation has also injected more confidence into the market. However, amidst the prevailing optimism, the market is speculating whether a positive turn in the unresolved U.S.-China tariff issue could completely trigger the next major bull market in the cryptocurrency sector. the fifth largest asset

As we enter May 2025, Bitcoin is exhibiting strong upward momentum. On the morning of May 9, the price of Bitcoin surged to a high of $104,361, marking the first return to the key psychological level of $100,000 since February this year, and it is the third time Bitcoin has surpassed six figures since reaching this milestone for the first time on December 5 of last year. With the surge in prices, the total market capitalization of Bitcoin has also risen significantly. According to the latest data, Bitcoin's market capitalization has increased by nearly 4% in the past 24 hours, successfully returning to the 2 trillion dollar mark. More significantly, Bitcoin's market capitalization has officially surpassed that of global e-commerce and cloud computing giant Amazon, ranking fifth in global asset market value. This achievement reflects the increasing influence of digital assets in the global financial system and the recognition of their long-term value by investors. Regarding Bitcoin's recent strong performance, the market commented: "Bitcoin has been performing strongly in recent weeks, surpassing other digital tokens, and has been almost unaffected by geopolitical events in Asia and the Middle East, which in the past could have impacted it. With gold performing well throughout the year, there is now reason to say that Bitcoin may have proven itself as an economic hedge and a long-term store of value." The recent rise in Bitcoin prices also indicates that there seems to be a certain degree of "decoupling" between it and traditional tech stocks, showcasing its potential as an independent asset class and the narrative of "digital gold." Meanwhile, progress in global cryptocurrency regulation and several strategic Bitcoin reserve plans may lay the foundation for long-term growth after 2025. US-UK trade agreement

On the evening of May 8, 2025, U.S. President Donald Trump held a press conference in the White House office, boldly announcing that the United States has reached an important trade agreement with the United Kingdom. Trump claimed that this was an incredible day for the United States, as the first fair, open, and reciprocal trade agreement was achieved, something previous presidents have never cared about. He described this agreement as "the first historic trade agreement since Liberation Day (referring to the date he previously announced tariff measures)," aimed at further opening the U.S. products to the UK market, while the UK will also eliminate many non-tariff barriers, allowing U.S. products to pass through UK customs more quickly in the future. The details of the deal include: the current tariffs of up to 25% on US car exports will be significantly reduced; Tariffs on steel and aluminum products exported to the United States will also be reduced to zero; The UK will eliminate or reduce the 2% digital sales tax levied on large US e-commerce companies such as Amazon; Tariffs on U.S. agricultural products will also be reduced. Trump said the deal would add $6 billion to U.S. external revenues through 10 percent tariffs, create $5 billion in new export opportunities for U.S. farmers, herdsmen and producers, and strengthen U.S. and U.K. national security by establishing aluminum and steel trade zones and secure drug supply chains. More details of the agreement are expected to be announced in the coming weeks. What excites the market even more is that Trump claimed at a press conference that he expects American representatives to have a "pleasant weekend" in trade negotiations with their Chinese counterparts. This statement has been widely interpreted as a positive conciliatory signal from the Trump administration to China amid ongoing US-China trade frictions, bringing a glimmer of hope for easing the tense global trade situation. These positive trade developments have effectively alleviated market concerns about the escalation of global trade protectionism, greatly boosting investor confidence. Motivated by this, major U.S. stock market indices closed in the green on May 8: the Dow Jones Industrial Average rose by 0.62%, the S&P 500 index climbed by 0.58%, the Nasdaq Composite Index increased by 1.07%, and the Philadelphia Semiconductor Index also rose by 1.00%. The improvement in market risk appetite has also provided a favorable external environment for the rise of risk assets such as Bitcoin. In addition to the favourable information at the macroeconomic level, the positive trends in cryptocurrency regulation by major global economies have also added confidence to the market. The UK government recently published a 27-page draft legislation document on cryptocurrency (Draft Order No. 2025 of the Financial Services and Markets Act 2000) and its policy explanations, aiming to establish clear and new cryptocurrency laws to strengthen investor confidence and provide necessary consumer protections. The core content of the draft includes redefining stablecoins and other crypto assets, and explicitly bringing activities such as custodial services for crypto assets, operating cryptocurrency exchanges, and actions of cryptocurrency dealers and brokers under regulatory oversight. UK Chancellor Rachel Reeves emphasized in a statement: "Through our adjustment plan, we are making the UK the most conducive place for innovation in the world and the safest place for consumers. Rigorous regulations related to cryptocurrencies will strengthen investor confidence, support the development of financial technology, and protect the people of the UK." Importantly, the UK Treasury has made it clear that it plans to strengthen cooperation with the United States to jointly support innovation in the cryptocurrency industry. According to reports, UK Chancellor of the Exchequer, Jeremy Hunt, has discussed topics such as "enhanced cooperation between the UK and the US on digital securities" with US Treasury Secretary Scott Bessent, and mentioned proposals related to digital assets by SEC Commissioner Hester Peirce. The two Treasury departments will continue dialogues and will further explore how to "support the use of digital assets and grow them responsibly" within the framework of the "UK-US Financial Regulatory Working Group." Although the UK government has emphasized its intention to combat bad actors in the crypto space, its regulatory approach may not be entirely "laissez-faire". Some communities remain cautious, concerned about potential past overreach by UK regulators. However, the willingness to cooperate and proactive stance demonstrated by both the UK and the US in the field of cryptocurrency regulation undoubtedly sends a positive signal for the healthy development of the global crypto industry and international regulatory coordination. The UK government is expected to push for the final cryptocurrency asset legislation as soon as possible after consulting with the industry on the drafted legal terms. China-US tariff issue Against the backdrop of the US-UK trade agreement being reached and the active promotion of UK crypto regulation, the market's focus is beginning to shift to the unresolved China-US tariff issue. President Trump’s statement that the China-US trade negotiations may welcome a "pleasant weekend" is only a preliminary signal, but it is enough to spark endless speculation in the market. As the most important bilateral economic and trade relationship in the world, the direction of Sino-U.S. trade relations has a significant impact on the global economy and financial markets. If the two countries can reach a substantial easing agreement on tariff issues, it will undoubtedly greatly boost the global market's risk appetite and release significant liquidity. In this case, Bitcoin, as an asset increasingly regarded by many investors as "digital gold" and an alternative safe-haven asset, is likely to become an object of capital pursuit, thereby igniting a new and more intense bull market. Of course, the complexity and uncertainty of the China-U.S. trade negotiations still exist, and the road to a comprehensive agreement may still be long. However, market expectations often lead reality, and any positive signals regarding the improvement of China-U.S. trade relations could serve as a catalyst for the rise in prices of Bitcoin and other crypto assets. Looking ahead, if the US-China tariff issue can achieve breakthrough progress, it will undoubtedly bring greater room for imagination for Bitcoin and the entire crypto market. However, investors still need to maintain a clear mind and closely monitor the global macroeconomic trends, the specific implementation of regulatory policies in various countries, as well as the technical developments and risk factors of the crypto market itself. In a market environment where opportunities and challenges coexist, rational analysis and cautious decision-making are essential to navigate steadily and far in the grand wave of digital assets. #BTC returns to 100,000