Bitcoin experienced a significant surge on Sunday, propelling it to $87,000 after trading near $84,000 earlier in the day. This 2.1% increase had a positive ripple effect on the broader cryptocurrency market, with several altcoins also seeing gains. The upswing is fueled by growing anticipation regarding potential trade deals involving the United States.

The previous week had been turbulent for Bitcoin, as data from CoinGecko revealed that the cryptocurrency struggled to consistently stay above $86,000, even dipping to $83,200 at one point. Earlier in the month, Bitcoin's performance was even more disappointing for investors, as it erased all of its all-time-high gains and plummeted to $75,000. This drop coincided with President Donald Trump's imposition of tariffs, including a 104% tariff on Chinese goods.

However, the situation has improved recently, positively influencing Bitcoin's price and paving the way for a potential return to the $90,000 mark. President Trump's announcement that the White House has initiated tariff discussions with China has instilled hope that the global trade war may soon de-escalate.

Bitcoin's rise has historically benefited other major altcoins, which had also suffered due to anxieties surrounding Trump's trade war. Ethereum (ETH) saw a 1.4% increase in the last 24 hours, while XRP experienced a 1.5% gain. Other altcoins like BNB and Dogecoin (DOGE) also rose by 1.4%, and TRON (TRX) showed a modest uptick. Cardano (ADA) increased by nearly 1%, but Solana (SOL) did not participate in the overnight rally.

Several factors may be contributing to Bitcoin's recent upswing. Japanese firm Metaplanet has continued to accumulate Bitcoins, according to CEO Simon Gerovich, joining other companies like Strategy (formerly MicroStrategy) in investing in the cryptocurrency. Crypto research firm 10x Research suggested on Sunday night that Bitcoin might be on the verge of a breakout from a downtrend, potentially leading to a significant upward price movement. The firm noted that Bitcoin's chart pattern resembles a falling wedge, which typically indicates a bullish continuation or reversal.

The sustainability of Bitcoin's uptrend remains uncertain, particularly given the potential for negative news stemming from President Trump's trade negotiations with other countries.