Bitcoin Briefly Touches $110,000 as Key Policy and Economic Developments Take Center Stage

Bitcoin hits $110K, reaching a new milestone as global macroeconomic signals and important policy changes make investors more interested. The short price spike shows that the digital asset market is gaining momentum, and traders are closely watching what central banks do and how inflation changes.

Bitcoin briefly surged to $110,000 last week following a stronger-than-expected U.S. non-farm payrolls report, before pulling back slightly, according to Simon Peters, crypto market analyst at eToro.

Despite the milestone, overall weekly gains across the crypto market remained modest, with major altcoins such as Ethereum, XRP, and Solana showing minimal movement. However, upcoming political and economic developments may set the stage for greater market volatility in the days ahead.

The “Bitcoin hits $110K” moment shows how closely linked crypto markets are to decisions made by central banks, inflation rates, and how people feel about risk.

“With U.S. markets returning from the Independence Day holiday, all eyes are on the fallout from the passing of former President Trump’s ‘One Big Beautiful Bill’, which is forecast by the Congressional Budget Office to add $3.4 trillion to federal deficits over the next decade,” said Peters. “The prospect of increasing U.S. government debt could drive investor interest in bitcoin, as investors seek a hedge against long-term currency debasement.”

Adding to the potential volatility is the looming expiration of the 90-day pause on reciprocal tariffs, set for July 9. The outcome of ongoing trade negotiations between the U.S. and its key global partners may significantly impact market sentiment.

“Should new trade deals be reached before the deadline, we could see a further lift in crypto prices. On the other hand, a breakdown in negotiations could trigger a market sell-off,” Peters added.

Meanwhile, eToro also marks the one-year anniversary of Moo Deng, its Southeast Asia crypto education and community-building initiative, underscoring the platform’s commitment to building a more informed investor base across global markets.

Bitcoin price milestone headlines get a lot of attention, but analysts say that long-term trends will depend on the stability of the economy and clear rules.