Bitcoin Price Forecast: BTC jumps above $97K on optimism over US-China trade talks

By: fxstreet|2025/05/07 17:30:03
0
Share
copy
Bitcoin price hovers around $97,000 on Wednesday after rebounding 2.7% in the last two days. US and Chinese officials are set to start talks this weekend to de-escalate a trade war between the world’s two biggest economies. The Fed interest rate decision in the American session could bring volatility for risky assets like BTC. Bitcoin (BTC) price stabilizes at around $97,000 at the time of writing on Wednesday after rebounding 2.7% in the last two days. The crypto markets show optimism as US and Chinese officials are set to start talks this weekend to de-escalate the trade war. However, traders should be cautious as the US Federal Reserve (Fed) interest rate decision in the American session could bring volatility for risky assets like BTC. Bitcoin recovers as US-China trade talks escalate According to a BBC report on Wednesday, the world’s two biggest economies, the US and China, are set to start talks this week to try to de-escalate a trade war. High-level trade talks between the two countries will begin in Switzerland on Friday. Chinese Vice Premier He Lifeng and US officials Scott Bessent and Jamieson Greer will lead the discussions. The report explains that the talks follow steep tariffs from both sides – up to 145% by the US and 125% by China. While the negotiations mark the first major diplomatic engagement since US President Donald Trump’s return to the Oval Office, experts caution that any resolution will likely take months. The crypto markets responded positively to news of the talks, as Bitcoin reclaimed the $97,000 mark following a slight pullback during the weekend. Bitcoin could face volatility amid Fed interest rate decision A K33 Research report on Tuesday says, “FOMC is rigged to cause significant volatility this week.” The report explains that since the last Federal Open Market Committee (FOMC) meeting, US President Trump has attempted to pressure Fed Chair Jerome Powell into emergency rate cuts. Despite this pressure, broad market consensus points toward unchanged rates , maintaining the current target at 4.25% to 4.5% as the Fed maintains a wait-and-see strategy against the backdrop of tariff-induced uncertainty in the market. Moreover, the BTC’s 7-day volatility reached a 563-day low on April 30. As shown in the graph below, the BTC-USD 7-day volatility recovers and stands at around 1.3%, indicating price fluctuations remain abnormally soft, and short-term volatility is abnormally compressed. Such low volatility regimes in BTC tend to be short-lived. Traders should be cautious as violent volatility outbursts generally follow this form of stability once prices start to move, as leveraged trades are unwound and traders are reactivated into the market. This week’s FOMC meeting could act as a catalyst for this volatility bust. BTC/USD 7-day volatility chart. Source: K33 Research New Hampshire becomes the first US state to establish a strategic Bitcoin reserve New Hampshire Governor Kelly Ayotte signed House Bill 302 (HB 302) into law on Tuesday, making the state the first in the US to establish a Strategic Bitcoin Reserve. The law allows the state treasurer to invest up to 5% of public funds in Bitcoin and other digital assets. Bitcoin reacted positively to this news and rose 2.22%, closing around $96,800 that day. The approval of the New Hampshire BTC reserve bill could set a precedent for other states, such as North Carolina, Texas, and Arizona, which are also listed in the State Reserve Race. This could be positive for Bitcoin in the long term and for its broader adoption. New Hampshire is once again First in the Nation! Just signed a new law allowing our state to invest in cryptocurrency and precious metals. pic.twitter.com/ua9bawZKbM Bitcoin Price Forecast: Rally toward $100,000 or correction to $90,000 Bitcoin price was rejected from its daily resistance level of $97,000 on Friday and declined 2.89% over the weekend. However, at the start of this week, it recovered from its pullback and continued rising through Tuesday. At the time of writing on Wednesday, it is approaching its key resistance level at $97,700. If BTC breaks and closes above the $97,700 level on a daily basis, it could extend the rally toward its psychological resistance at $100,000. However, if BTC faces resistance around $97,700 and corrects lower, it could extend the decline to retest its next key support level at $90,000. The Relative Strength Index (RSI) on the daily chart reads 65, above its neutral level of 50, indicating a bullish momentum and supporting the bullish case. However, the Moving Average Convergence Divergence (MACD) indicator on the daily chart coils against each other, suggesting indecisiveness among traders. BTC/USDT daily chart Related news Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC rebounds as New Hampshire approves first US Bitcoin reserve Cronos Price Forecast: CRO bulls aim for higher highs as 21Shares launches new Cronos ETP Bitcoin price blitz $730M sell-wall amid India’s missile attack on Pakistan

You may also like

500% XAUT Staking, Zero-Fee Gold Futures and $100K Rewards: Why Traders Are Turning to WEEX for Tokenized Gold

Explore WEEX's $100,000+ gold campaign featuring 500% XAUT staking, zero-fee gold contracts, and $30,000 PAXG rewards. Trade tokenized gold today.

AI within artillery range

“The cloud” is a metaphor, but the data center isn’t.

March 4th Market Key Intelligence, How Much Did You Miss?

1. On-chain Flows: $39.6M USD inflow to Hyperliquid today; $29.7M USD outflow from Base 2. Largest Price Swings: $EDGE, $POWER 3. Top News: Altman defends Pentagon deal at all-hands, calls backlash "really painful"; OpenAI also seeking NATO contracts

Taking Stock of Crypto's Washington Power Players: Who is Advocating for US Crypto Regulation?

These institutions have jointly defined the industry's underlying values, marking the U.S. crypto industry's shift to a "professionalized, ecological, and refined" era of policy gamesmanship.

DDC Enterprise Limited Announces 2025 Unaudited Preliminary Financial Performance: Record Revenue Achieved, Bitcoin Treasury Grows to 2183 Coins

On March 4, 2026, DDC Enterprise Limited (NYSE American: DDC) today announced preliminary, unaudited full-year financial performance for the year ended December 31, 2025. The company expects to achieve record revenue and record positive adjusted EBITDA, primarily driven by continued growth in its core consumer food business and overall margin improvement. The final audited financial report is expected to be released in mid-April 2026.


2025 Full-Year Financial Highlights


Revenue: Expected to be between $39 million and $41 million, reaching a new company high.


Organic Growth: Excluding the impact of the company's strategic contraction of its U.S. operations, core revenue is expected to grow 11% to 17% year over year.


Gross Profit Margin: Expected to be between 28% and 30%, reflecting continued operational efficiency improvements.


Adjusted EBITDA: The company expects to achieve a positive full-year result in 2025, a significant improvement from a $3.5 million loss in 2024, mainly due to rigorous cost controls and a higher-margin sales mix.


Core Consumer Food Business Performance


In 2025, DDC's core consumer food business maintained strong operational performance.


The company also disclosed Core Consumer Food Business Adjusted EBITDA, a metric that further excludes costs related to its Bitcoin reserve strategy and non-cash fair value adjustments related to its Bitcoin holdings from adjusted EBITDA to more accurately reflect the core business performance.


In 2025, Core Consumer Food Business Adjusted EBITDA is expected to be between $5.5 million and $6 million.


Bitcoin Reserve Update


In the first half of 2025, DDC initiated a long-term Bitcoin accumulation strategy, holding Bitcoin as its primary reserve asset.


As of December 31, 2025: The company holds 1,183 BTC.


As of February 28, 2026: Holdings increased to 2,118 BTC


Today's additional purchase of 65 BTC brings the company's total holdings to 2,183 BTC


DDC Founder, Chairman, and CEO Norma Chu stated, "We are proud to have closed 2025 with record revenue and positive adjusted EBITDA, demonstrating the steady growth of the company's consumer food business and the ongoing improvement in profitability. We are building a disciplined, growth-oriented food platform and strategically allocating capital to Bitcoin assets with a long-term view, aligning with our core beliefs. We believe that this dual-track model of 'Steady Consumer Business + Strategic Bitcoin Reserve' will help DDC create lasting long-term value for shareholders."


Adjusted EBITDA Definition
For the full year 2025, the company defines "Adjusted EBITDA" (a non-GAAP financial measure) as: Net income / (loss) excluding the following items:· Interest expense· Taxes· Foreign exchange gains/losses· Long-lived asset impairment· Depreciation and amortization· Non-cash fair value changes related to financial instruments (including Bitcoin holdings)· Stock-based compensation


About DDC Enterprise Limited


DDC Enterprise Limited (NYSE: DDC) is actively implementing its corporate Bitcoin Treasury strategy while continuing to strengthen its position as a leading global Asian food platform.


The company has established Bitcoin as a core reserve asset and is executing a prudent, long-oriented accumulation strategy. While expanding its portfolio of food brands, DDC is gradually becoming one of the public company pioneers in integrating Bitcoin into its corporate financial architecture.


Uncovering YZi Labs 229 Investment: Over 18% of the portfolio is already inactive, with an average project transparency score of 78

In terms of strategic direction, YZi Labs has begun to extend into areas such as AI and stablecoins, but overall it is still in the layout and validation stage.

Popular coins

Latest Crypto News

Read more