Bitcoin Has Traded Across a Range Over Almost $20,000 This Past Week as Investors Gear Up for What Could Be an Explosive Weekend

Bitcoin has traded across a range over almost $20,000 this past week as investors gear up for what could be an explosive weekend.

The price of bitcoin has risen to over $90,000 as U.S. president Donald Trump's Commerce secretary Howard Lutnick reportedly confirms a Trump bombshell.

After dropping to under $80,000 per bitcoin, the world’s largest cryptocurrency bounced back to trade as high as $90,000 on Thursday as the administration of re-elected president Donald Trump is set to begin buying up bitcoin to add to its reserves.

"We are going to start buying bitcoin and putting it into the treasury," Trump's Commerce secretary and chair of the president's economic advisory council Howard Lutnick was quoted as saying by BlockNews.

Earlier this week, Elon Musk issued a surprise crypto price warning as China revealed plans to ramp up its economic stimulus measures—something that's previously pushed risk assets like bitcoin higher.

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China's president Xi Jinping is considering adding more stimulus to the economy, something that has previously boost the bitcoin price and risk assets.

"Watch out for China," Arthur Hayes, a cofounder of bitcoin and crypto derivatives pioneer BitMex who went on to set up the Maelstrom investment fund, wrote in a blog post, predicting a "final filthy fiat financial market convulsion before the globe, led by the U.S., can reflate and take bitcoin" beyond $1 million.

"Xi Jinping wants to keep the yuan stable against the dollar, whether for good or bad. If the dollar supply increases, he can instruct the People's Bank of China to increase the yuan supply, ensuring the dollar-yuan exchange rate remains stable."

This week, China's central bank governor Pan Gongsheng confirmed the People's Bank of China will cut interest rates and inject liquidity into the financial system through cuts to the amount banks are required to hold as reserves "at an appropriate time," it was reported by Reuters.

China's stimulus plans have been accelerated by Trump's trade tariffs on the country which are threatening to escalate into a full-blown global trade war.

In November, China unveiled a $1.4 trillion debt package to ease local government financing strains and stabilize flagging economic growth amid pressure from the re-election of Donald Trump as U.S. president.

"In previous instances when China has ramped up monetary stimulus and injected excess liquidity into the system, in 2015 and in 2020, excess liquidity found its way into alternative assets," a spokesperson for bitcoin and crypto platform Nexo told The Block. “Such stimulus could have broader implications for global markets, increasing appetite across equities and alternative assets.”

The bitcoin price has dipped from its all-time highs but remains far above where it was this time last year.

Meanwhile, unconfirmed rumors and wild speculation are flying on social media that China could be planning to create its own bitcoin reserve—potentially beating the U.S. to an official bitcoin stockpile despite U.S. president Donald Trump confirming he wants to create a crypto reserve.

"China is now working double time to stand up their own strategic bitcoin reserve," David Bailey, the chief executive of Bitcoin Magazine publisher BTC Inc and advisor to the Trump election campaign on bitcoin strategy, posted to X, adding: "They've been holding closed door meetings on the topic since the election," without naming any sources.