- The crypto market recorded gains on Monday morning.
- Donald Trump extended the European Union trade talks deadline to July 9.
- Ursula von der Leyen is optimistic over trade talks with the US.
The crypto market recorded limited gains over the weekend, with Bitcoin (BTC) leading a modest rebound after US President Donald Trump extended the trade talks deadline with the European Union (EU). Trump’s latest move highlights a volatile decision-making period, with the US President reversing his decisions on more than one occasion.
According to reports, Trump has agreed to extend the tariff negotiation deadline by over one month. The latest extension to July 9 re-opened the discussion period close to the original deadline of July 8 after Trump threatened to take drastic measures by June 1.
Trump Reverses Course on EU Tariffs After Von Der Leyen Call, Sparking Bitcoin Rally
Last month, Trump imposed a 20% tariff or import tax on most EU goods but later reduced it to 10% to allow time for negotiations. However, last Friday, the President expressed frustration over the negotiation pace and threatened to increase the tariff to 50% by June 1. Trump’s action caused panic across the markets, with Bitcoin losing nearly 5% in less than 24 hours.
Related: Crypto Prices Today: ETH, XRP, SOL Follow BTC Rally After President Trump’s EU Tariff Pause
Market conditions then took a sharp turn on Sunday (May 25), after Trump wrote on social media that he had pushed the negotiation deadline to July 9, citing a “very nice” call with Ursula von der Leyen, the European Commission chief.
Von der Leyen echoed Trump’s more constructive tone, noting that the EU was ready to advance talks swiftly and decisively. She wrote in an online post that the Commission would need the deadline extension to July 9 to reach a good deal.
Bitcoin Bounces Off $106K Support, Climbs Above $110K on News
The crypto market rebounded after the latest run of events as Bitcoin reversed last Friday’s crash with consistent bullish movements over the weekend. The pioneer cryptocurrency bounced off support at $106,666, surging 3.38% to climb above $110,000 in the early hours of Monday morning.
Related: Bitcoin Pulls Back After Trump Tariff Shock, But Bullish Trend Holds
Last weekend’s events exposed the relationship between Trump’s trade decisions and the crypto market. Many analysts believe the one-month extension is enough time for a lot to happen in the cryptocurrency ecosystem, with most of them expecting a capital flight into the crypto market ahead of the tariff negotiation deadline.
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