Trump’s Xi Summit Sparks Crypto Market Rebound
After days of turmoil in global and crypto markets, U.S. President Donald Trump confirmed on Sunday that he will meet Chinese President Xi Jinping at the upcoming Asia-Pacific Economic Cooperation (APEC) summit in Seoul, South Korea, set to begin on October 31.
The announcement immediately boosted investor confidence, triggering a rebound across the crypto market, which had just suffered its worst liquidation event in history days earlier.
In a strikingly positive tone, Trump praised Xi as “a very strong leader, a very amazing man… It’s an amazing story, one for a great movie.” He added that he believes both nations can reach a “fair deal” despite ongoing tariff tensions.
From Market Carnage to Cautious Optimism
Just a week ago, the markets were reeling after Trump announced new tariffs on Chinese imports, saying there was “no reason” to meet Xi at APEC. That statement sparked a geopolitical selloff, with crypto suffering nearly $20 billion in liquidations in 24 hours - the largest in its history.
Bitcoin plunged from $121,000 to $103,000, and dozens of altcoins briefly lost nearly all their value in a flash crash exacerbated by overleveraged traders and thin liquidity.
Now, with Trump’s tone reversing and the meeting confirmed, traders are rushing back into risk-on assets, particularly cryptocurrencies.
Bitcoin, Ethereum, and Solana Lead the Charge
Following the announcement, Bitcoin (BTC) climbed roughly 2%, trading around $115,000, while Ethereum (ETH) and BNB rose 3.5% each. Solana (SOL) led the altcoin rebound with gains of nearly 4%, according to data from TradingView.
Market observers say this surge is driven by speculative optimism that a potential trade truce between the U.S. and China could stabilize global liquidity conditions - a key factor for digital asset inflows.
The Crypto Fear & Greed Index, which dropped to 22 (“Extreme Fear”) after last week’s crash, began to tick upward for the first time in days, signaling returning confidence among investors.
The Bigger Picture: Geopolitics Meets Digital Assets
The U.S.-China trade relationship has long been a catalyst for crypto volatility. Investors often treat Bitcoin as a hedge against geopolitical risk and monetary instability, and any sign of de-escalation tends to trigger renewed buying.
This latest announcement follows a pattern seen in past cycles - where macro diplomacy fuels short-term rebounds while the broader crypto market narrative remains anchored in adoption, regulation, and institutional inflows.
Should the APEC meeting yield progress toward a trade agreement or easing tariffs, analysts believe the crypto bull run could reignite heading into November.
Outlook Ahead of the APEC Summit
The next few weeks are likely to see volatile but upward-trending crypto markets, as traders position for potential breakthroughs from the October 31 summit.
If the U.S. and China signal renewed cooperation on trade and supply chains, analysts say it could restore liquidity confidence globally, fueling further rallies in risk assets like Bitcoin and Ethereum.
For now, the sentiment has flipped from panic to measured optimism - and all eyes are on Seoul, where the next chapter of crypto’s macro story will unfold.
