The easing of trade tensions between the U.S. and Mexico has injected optimism into the cryptocurrency market, with Bitcoin nearing the $100,000 threshold. This development follows Mexico's commitment to deploying troops to the U.S. border, alleviating fears of a trade war and boosting investor confidence. The agreement has led to a rebound in crypto prices, with Bitcoin and other major cryptocurrencies recovering some of their recent losses. Analysts are optimistic, suggesting that the recent market correction may have concluded, presenting a potential 'buy-the-dip' opportunity. Additionally, Bitcoin's historical performance in February and the formation of a bullish flag pattern on the daily chart suggest a possible breakout later this month.
The Proshares Ultrashort Bitcoin ETF (SBIT) has responded to these market dynamics, rising 5.24% to $10.05 as of 11:20 AM on Monday, February 3.