Bitcoin Jumps Over $100K, XRP Climbs 40% Amid a Sudden Decrease in Trade War Tensions

Crypto Markets Surge as U.S.-Mexico Trade Tensions Eased; Bitcoin Soars Past $100K, XRP Jumps 40%

Cryptocurrency prices surged on Monday, with Bitcoin (BTC) surging above $100,000 as concerns of a full-scale trade war subsided following a key agreement between Mexico and U.S. President Donald Trump.

Mexican President Claudia Sheinbaum announced that Mexico would deploy 10,000 troops at the U.S. border to curb illegal arms and drug trafficking. Additionally, she confirmed that tariffs on Mexico would be delayed for one month, leading to a sharp shift in market sentiment. On prediction platform Polymarket, the odds that Trump will remove tariffs against Mexico before May rose dramatically to 80%, up from around 50% earlier in the day.

Shortly after, President Trump signed an executive order to establish a U.S. sovereign wealth fund, which helped drive further positive momentum in the cryptocurrency market. The U.S. Treasury and Commerce Departments, both led by pro-crypto officials, will oversee the fund, potentially allowing the U.S. government to buy and hold digital assets.

Bitcoin surged to nearly $102,000 from a low of $91,300 earlier in the day, up 3.5%, according to TradingView data. XRP rallied 40% from its lows, hitting $2.70 and recovering all of its previous losses. Solana’s SOL made gains of over 5%, rising to $210. Ethereum’s ether (ETH) climbed above $2,700, recovering from near $2,000, though it remained 7% lower over the past 24 hours.

In the U.S. stock markets, earlier losses were somewhat mitigated. The Nasdaq closed the day 1.2% lower, while the S&P 500 finished down by 0.76%.

Analysts from Bitfinex noted that while Bitcoin saw initial declines due to tariff news, the sell-off was more pronounced given Bitcoin’s nature as a tail-risk asset, which is more sensitive to negative shifts in market sentiment.

Despite the ongoing economic uncertainty and broader market corrections, Bitfinex analysts pointed out that Bitcoin continues to show structural strength on higher timeframes, suggesting that the cryptocurrency remains on a strong long-term trajectory despite short-term volatility.