Bitcoin climbed above $99,300 on Thursday, edging closer to the closely watched $100,000 threshold for the first time since January.
The rally, which lifted the cryptocurrency by 2.4%, came amid growing anticipation over a proposed US-UK trade agreement expected to be unveiled by Donald Trump later today.
The potential deal is seen as a boost for risk assets, including cryptocurrencies, especially if it includes tariff cuts in sectors such as automotive and digital services.
While details are still pending, market sentiment has improved, with US equity futures also gaining ground.
The move higher in crypto comes despite the US Federal Reserve maintaining interest rates and continuing its quantitative tightening programme.
Analysts warn this could weigh on longer-term momentum. Still, traders appear focused on near-term positives, with Bitcoin’s strength reflecting a broader appetite for risk.
At 1.40 pm BST, Bitcoin was changing hands for $99,374.30, up $2,310 on the day.