Cryptocurrency giant Bitcoin surged higher along with Asian stocks and the US dollar on news that the United States and China plan to hold trade talks.
Bitcoin rose about 3.2% to $97,500 in early trading on Wednesday before paring gains at a steady level.
The support was also followed by news that US Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer will meet Chinese government officials this week in Switzerland.
The meeting is expected to raise hopes that the world's two largest economies will reach an agreement to ease trade tensions.
In addition, India said in a statement that it had carried out a military strike on Pakistan and received retaliatory fire that downed five Indian jets.
FalconX digital asset trading leader Sean McNulty saw renewed market interest in Bitcoin as he is expected to be optimistic about trade talks this weekend.
However, he believes investors are not focusing on the India-Pakistan conflict and will continue to watch the Federal Reserve (Fed) interest rate decision early Thursday morning.
