Bitcoin prices reached over $104,000 today. (Photo illustration by Chesnot/Getty Images)
Bitcoin prices rose sharply today, climbing above the crucial $100,000 level and reaching their highest since January after CryptoQuant’s Bitcoin: Bull Score Index showed a bullish reading of 80.
Since the aforementioned index attained this figure not only today, but also on May 1, 2, 3, and 7, it has repeatedly tied for its loftiest value since January 30, additional CryptoQuant data reveals.
This coincided with the digital currency rising from roughly $95,000 on May 1 to more than $104,000 today, according to Coinbase figures from TradingView.
Julio Moreno, head of research for CryptoQuant, shed some light on what this reading means, specifying via Telegram chat that “The index measures demand, valuation and liquidity conditions for Bitcoin. As long as the index is at 60 or above it signals bullish sentiment and supports higher prices.”
He noted that the Bitcoin: Bull Score Index sank to as little as 10 in early April, which means that the measure increased 700% in roughly the space of a month.
Joe DiPasquale, CEO of cryptocurrency hedge fund manager BitBull Capital, also weighed in how the mindset of investors has strengthened lately.
“There’s little doubt that sentiment around bitcoin has improved markedly in recent weeks. CryptoQuant’s Bull Score Index hitting 80 — the highest since January — reinforces what we’re seeing on-chain and across trading desks: renewed conviction.”
Tariff Talks
Bitcoin prices rallied today after President Donald Trump announced that he and U.K. Prime Minister Keir Starmer had managed to work out a trade deal that both heads of state described as advantageous for their countries.
“The deal includes billions of dollars of increased market access for American exports, especially in agriculture, dramatically increasing access for American beef, ethanol, and virtually all of the products produced by our great farmers,” said Trump, according to a White House statement.
“This is going to boost trade between and across our countries. It’s going to not only protect jobs, but create jobs, opening market access,” Starmer added.
The U.S. will continue to impose a 10% baseline tariff, the statement revealed, but the nation has agreed to change up its treatment of automobiles imported from the U.K.
“Under the deal, the first 100,000 vehicles imported into the U.S. by UK car manufacturers each year are subject to the reciprocal rate of 10% and any additional vehicles each year are subject to 25% rates,” the announcement specified.
Multiple Bullish Factors
While announcing this deal, Trump expressed optimism that the 145% tariff that the U.S. has imposed on Chinese imports would soon come down, according to Reuters.
Several analysts cited these development as contributing to bitcoin’s latest price gains, but emphasized that other causes helped drive the digital currency higher.
When asked what fueled bitcoin’s latest gains, Tim Enneking, managing partner of Psalion, stated via email that “I think the proximate cause was clearly the US-UK announcement of a trade agreement this morning – which was teased beginning yesterday (many details of which, however, remain to be finalized).”
“However, that was far from the entire reason and really wouldn’t be sufficient to explain the rather large BTC (and ETH) move of the past couple of days,” he added.
“Mid-level talks between the US and China, which were announced yesterday, kicked things off. But, perhaps more important than either, BTC has been like an ever-tighter coiling spring since it bounced off of $74.5k in early April,” said Enneking, focusing on the strong, upward trend the digital asset has been experiencing lately.
DiPasquale also claimed that myriad developments placed upward pressure on bitcoin prices, indicating via email that “Bitcoin’s surge above $100,000 appears to be driven by a convergence of macro tailwinds and narrative momentum.”
“The announcement of a new U.S.-U.K. trade deal under Trump likely contributed to broader optimism in risk assets, reinforcing the idea that a more favorable geopolitical and regulatory environment could benefit digital assets. However, bitcoin’s move is also powered by deeper structural factors — from ongoing institutional accumulation to the scarcity effect post-halving,” he stated.
Major Investors ‘Never Lost The Faith’
Enneking spoke to the optimism of major players, emphasizing that they never lost confidence that bitcoin would recover after falling below $75,000 last month.
“Whales never lost the faith that BTC was going up from there to set a new ATH and not down as they steadily accumulated,” he stated.
“That institutional confidence has now been justified, triggered and supported by today’s tradfi macro events,” Enneking added.
