Cryptocurrency stocks rose on Monday after President Donald Trump and Treasury Secretary Scott Bessent hinted that progress could be made in U.S.-China trade talks.
“I feel really good” about the deal, President Trump told reporters Monday morning, referring to an agreement announced earlier this month that would allow China to continue supplying the U.S. with rare earth magnets, essential parts of everything from electric cars to smartphones, in exchange for easing the threat of 100% tariffs.
This follows similar positive comments from Treasury Secretary Scott Bessent over the weekend, with Bitcoin soaring to $116,200 on Sunday before falling slightly to its current $115,000.
Among the stocks that rose on Monday was Robinhood (HOOD), which rose 5%. Bitcoin miner/AI infrastructure businesses like Hut 8 (HUT), CleanSpark (CLSK), and IREN (IREN) led in the 2%-3% range.
Eric Trump’s American Bitcoin (ABTC), which announced the acquisition of an additional 1,414 Bitcoins (holdings of 3,865 Bitcoins), rose 10.5%.
A laggard among cryptocurrencies was stablecoin issuer Circle, which fell 2.3%.
Traditional markets surged as well, with the Nasdaq up 1.5% and the S&P 500 up 1%.
The previously red-hot precious metals continued to lose favor with investors, with gold falling another 3.2% and silver 4.5%.
President Trump is scheduled to meet with Chinese President Xi Jinping on Thursday. The specific terms of a potential deal are still being worked out, but rare earth elements are a central part of the negotiations. China controls about 70% of the world’s production of these materials, which are used in electric car motors, wind turbines and military equipment.
The rally also comes as traders prepare for the Federal Reserve’s upcoming policy decisions. The central bank is widely expected to cut its benchmark interest rate by 25 basis points, which could lower borrowing costs and further encourage risk-taking in assets such as cryptocurrencies and tech stocks.
