Bitcoin climbed 3.6% on Monday to cross $115k, as equities rallied and risk appetite improved on signs that trade tensions between the US and China may be easing.
The move set a firmer tone ahead of a week packed with central bank decisions and mega-cap earnings.
Crypto followed equities higher. Total market value rose 3.7% to $3.9 trillion. Ether rose 7% to $4,200, BNB added 2.8% to $1,149, and XRP rose 1.3% to $2.64.
Trump and Xi Set to Review Preliminary Trade Deal as Markets Eye De-Escalation
Over the weekend, senior US and Chinese economic officials outlined a framework that Presidents Donald Trump and Xi Jinping are expected to review later this week in South Korea.
A deal that pauses steeper US tariffs and Chinese rare earth export controls would help calm nerves after months of escalating trade risk.
Attention now turns to policy meetings in Japan, Canada, Europe and the US. The Federal Reserve is widely expected to cut interest rates by 25 basis points after September inflation rose slightly less than forecast, although the government shutdown and its effect on data remain a concern for markets.
Cooling Inflation Strengthens Case for Rate Cut and Fuels Risk-On Momentum
Investors also face the busiest stretch of US earnings season. Microsoft, Apple, Alphabet, Amazon and Meta report in the coming days, keeping focus on balance sheets that have anchored risk sentiment through 2025.
Expectations for a quarter-point cut remain in play. The Fed’s benchmark rate is seen moving from 4.0% to 4.25% on Wednesday after the Consumer Price Index rose 3% year on year in September, below the 3.1% consensus.
Cooling inflation and upbeat earnings prospects lifted cyclical exposure across portfolios. Treasury yields eased, the dollar steadied and gold saw profit-taking as investors rotated back into growth.
Institutional Interest Builds as Traders Rotate Toward Digital Asset Treasuries
In digital assets, treasury positioning stayed in focus. Concerns around MicroStrategy’s growth outlook contrasted with renewed institutional interest in names such as Metaplanet, BitMine, and Galaxy Digital.
Miners drew support from AI-infrastructure pivots and capital inflows, with traders citing TeraWulf, CleanSpark and Iren as early beneficiaries.
Among majors, Solana, Jupiter, and Virtuals outperformed on ecosystem catalysts, while Tron and Ethena showed mixed flows amid DeFi rotation.
For crypto desks, the path of rates, the tone from US-China talks and the earnings scorecard will decide whether Bitcoin can build on its push toward $120,000.
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