Digital asset markets showed strong gains on Tuesday, fueled by growing optimism that trade tensions between the United States and China might soon ease.
Reports emerged citing an attendee of a White House conference, suggesting U.S. Treasury Secretary Scott Bessent indicated that the existing tariff structure is viewed unfavorably by both Washington and Beijing.
According to the source, Bessent pointed to the extremely high tariff rates, reportedly between 125% and 145%, as a factor likely to necessitate a reduction in economic friction shortly.
The crypto markets reacted with particular vigor. Bitcoin (BTC) climbed decisively, trading above the $90,000 mark by Tuesday afternoon. This positive momentum reflects how sensitive digital assets can be to broader market influences.
The source depicted the current U.S.-China trade relationship as being similar to an “embargo,” implying that renewed negotiations are essential.
While Bessent reportedly acknowledged the path to resolution would be a difficult “slog,” the sentiment conveyed was that neither government is content with the current trade situation.
Further insights suggest that resolving the trade imbalance could require adjusting national economic priorities. The U.S. is apparently focused on increasing its manufacturing base, while China continues to prioritize industrial output.
Although the exact future course is unclear, those present reportedly felt the U.S. intends to maintain dialogue with China. This engagement, however, aims to achieve the Trump administration’s objective of fairer trade conditions, highlighting the ongoing impact of tariff news on various asset classes.
No official announcements regarding new negotiations have been made by the White House or the Treasury Department. Still, the nature of the reported comments suggests preliminary steps toward a policy change might be underway, influencing investor sentiment across traditional and blockchain asset markets.