Bitcoin Edges Higher to $118.5K Amid U.S.–Japan Trade Optimism, but Stays Rangebound

• Bitcoin rises to $118.5K, supported by risk-on sentiment following a U.S.–Japan trade agreement.

• Price remains rangebound after hitting an all-time high above $123K last week.

• U.S. crypto regulation boosts confidence, while investors await the Federal Reserve’s July 30 meeting.

• Altcoins mixed: Ethereum, XRP up slightly; Dogecoin dips, $TRUMP gains.

Bitcoin posted modest gains in Asian trading on Wednesday, rising 0.5% to $118,582.7 as of 02:10 ET (06:10 GMT). The move was supported by improved global risk sentiment following news of a trade breakthrough between the United States and Japan.

While the world's largest cryptocurrency remains elevated, it continues to trade within a tight range, consolidating after last week’s surge to a record high above $123,000. Momentum has eased as markets digest a mix of macroeconomic and regulatory signals.

U.S.–Japan Trade Deal Lifts Market Mood, But Bitcoin Holds Steady

Investor confidence improved after former President Donald Trump announced a sweeping trade agreement with Japan, which includes a 15% tariff on Japanese imports—lower than the previously planned 25%.

The deal also features a substantial $550 billion investment from Japan into the U.S. economy and opens Japanese markets to more U.S. goods, including automobiles, agriculture, and energy.

This triggered a broad risk-on rally across global markets—stocks jumped, and gold prices dipped—but Bitcoin remained within recent trading bounds, as investors awaited further clarity on global trade developments ahead of Trump’s August 1 tariff deadline.

Crypto Sentiment Buoyed by U.S. Regulatory Progress

The broader crypto sector saw support from recent U.S. legislative developments. Last week, Trump signed the GENIUS Act into law, establishing a federal framework for stablecoins, a significant step toward clearer crypto regulation.

Additionally, two more key bills cleared the House of Representatives and are now headed to the Senate, further boosting sentiment within the digital asset space.

However, near-term price action will likely depend on the outcome of the Federal Reserve’s July 30 policy meeting, where investors are watching for signals on future interest rate direction.

Altcoins Mixed; Dogecoin Slips, $TRUMP Surges

Altcoins showed muted but mostly positive moves on Wednesday, mirroring Bitcoin’s cautious gains.

• Ethereum (ETH) rose 0.5% to $3,705.42

• XRP also climbed 0.5% to $3.48

• Solana added 1.3%

• Cardano gained 0.3%

• Polygon edged up 0.7%

Among meme and speculative tokens, Dogecoin (DOGE) slipped 0.7%, while $TRUMP rose 1.3%.

Despite a sharp rally earlier in the week driven by “crypto week” momentum, altcoins appear to have entered a phase of profit-taking and consolidation, mirroring Bitcoin’s cautious tone.