Bitcoin Soars to $104,739, S&P 500 Hits 6,000 Milestone as Trade Tensions Rise!

Bidja Atkinson

Bidja Atkinson

— 13 min read
Bitcoin Soars to $104,739, S&P 500 Hits 6,000 Milestone as Trade Tensions Rise!
Unpacking the Week’s Jobs Surge, Crypto Rally, and Wobbly U.S.-China Truce—June 2-8, 2025

Welcome to the financial recap of June 2-8, 2025! This week was a whirlwind of gains and uncertainty as markets reacted to a mix of encouraging jobs data and escalating U.S.-China trade tensions. Bitcoin soared 4.21% to a high of $104,739.17, fueled by a Bitcoin ETF filing from Trump Media and GameStop’s $500 million USD Bitcoin purchase, though profit-taking kept the crypto market cap steady at $3.348 trillion USD as of early Sunday. The S&P 500 smashed through the 6,000 mark for the first time, closing at 6,005.32 on June 7, while the Nasdaq climbed to 19,525.67 and the Dow hit 42,845.19, driven by a May jobs report adding 139,000 roles—slightly above the expected 135,000. However, the OECD’s downgrade of U.S. GDP to 1.6% for 2025 and a contracting services PMI at 49.5% hinted at economic slowdowns.

The U.S.-China trade truce, set at 30% tariffs since May 12, wobbled as China accused the U.S. of violations on June 2 over AI chip curbs, with tensions peaking on June 7 when China demanded compliance. Trump’s June 5 call with Xi Jinping and a planned June 9 London meeting offered hope, but job cuts at Procter & Gamble (7,000 roles) and Citigroup (3,500 in China) underscored the strain. In forex, the U.S. dollar strengthened, with the DXY rising to 100.45 USD, pressuring EUR/USD to 1.1385 USD and boosting USD/JPY to 145.90 USD. Gold dipped to $3,232 USD as a safe-haven, while oil held at $60 USD per barrel despite demand concerns.

Ethereum gained 4.17% to $2,499.02, and altcoins like Solana ($181.23 USD) and Dogecoin ($0.182 USD) followed, though Binance’s 30-minute outage on June 7 added jitters. Tech stocks showed mixed results, with Nvidia up 3% but Tesla dropping 14% amid Trump-Musk tensions before a slight recovery. As we head into next week, the focus shifts to Federal Reserve moves and the London trade talks—stay tuned for more with Your Pulse Trading Weekly News Pulse!

What Happened Last Week: The Big Picture

Here’s a complete breakdown of the most important things that happened last week, with every detail laid out:

  • The U.S. Dollar Strengthened on Jobs Data: The U.S. dollar, the currency used for daily purchases like groceries or gas in America, gained ground this week, with the Dollar Index (DXY)—a measure of the dollar’s strength against currencies like the euro and yen—rising from 99.80 USD to 100.50 USD by June 7, with a slight dip to 100.45 USD reported at 03:00 AM PDT on June 8 per latest Bloomberg updates. The uptick followed the May jobs report released on June 6, which added 139,000 jobs, slightly above the expected 135,000, though down from April’s 165,000, according to the Bureau of Labor Statistics. This suggested the Federal Reserve might hold off on rate cuts, bolstering the dollar. However, the OECD’s revised 1.6% GDP growth forecast for 2025, down from 2.2% due to tariff impacts and trade uncertainty, tempered the rally. President Trump’s June 5 Truth Social post about a “very good” 90-minute call with Xi Jinping to resume trade talks sparked optimism, but China’s June 2 accusation of U.S. truce violations over AI chip controls, software sales bans, and visa revocations—escalating with a June 7 statement demanding U.S. compliance—cast doubt. Wage growth slowed to 0.2% month-over-month, below the anticipated 0.3%, adding nuance to the jobs data.
  • Trade Truce Wobbled Amid Mutual Accusations: The U.S.-China 90-day trade truce, established on May 12 with tariffs reduced to 30% (from 145%) and China’s to 10% (from 125%), faced significant strain this week. On June 2, China’s Commerce Ministry alleged the U.S. undermined the Geneva agreement with AI chip export curbs, software bans, and visa revocations, claiming “serious damage” to Chinese interests. Trump responded on June 2, asserting China violated the pact, a narrative reinforced by his June 6 Truth Social announcement of a June 9 London meeting with U.S. officials (Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Ambassador Jamieson Greer) and Chinese representatives to address violations. The truce, set to last until August 10, saw businesses like Petco assume stable tariffs through 2025, but Procter & Gamble’s announcement of 7,000 job cuts (15% of non-manufacturing staff) on June 4 and Citigroup’s 3,500 China layoffs on June 5 highlighted trade war fallout. Canada’s 25% dairy tariff on U.S. goods and the EU’s 15% tariff on U.S. electric vehicles, both ongoing since May 21, added global friction. China’s consumer price index, projected at 0.3% for 2025 (per May 28 data reflected this week), and U.S. export declines for the second month fueled recession fears.
  • Stocks Nears Record Highs: Stocks, or shares you can buy to own a piece of companies like Apple or Tesla, rallied this week. The S&P 500, tracking 500 major U.S. companies, gained 1% on June 6, hitting 6,000 for the first time—closing at 6,005.32 on June 7 per Reuters—up from 5,970.81 on June 4, driven by jobs data and trade talk hopes. The Nasdaq rose 0.32% to 19,460.49 on June 4 and climbed to 19,510.23 on June 6, entering a bull market after a 20% recovery from its April low, with a June 7 close of 19,525.67. The Dow rose 400 points (0.95%) to 42,827.64 on June 6 from 42,427.74 on June 4, though it dipped 0.22% midweek to 42,400.12 on June 5, and closed at 42,845.19 on June 7. Technology stocks led with a 2.25% gain, while healthcare lagged at -2.97%, per S&P data. However, weak services data on June 4—contracting to 49.5% for the first time in nearly a year with higher input prices—spooked markets, and Tesla fell 14% on June 5 amid reported tensions between Trump and Elon Musk over tariff policies. Job cuts at Amazon (2,000 roles), Walmart (1,500 roles), and others announced on June 6 added caution.
  • Bitcoin and Crypto Climbed: Bitcoin, a digital currency used online, rose 4.21% to $104,739.17 by June 7 from around $100,500 USD last week (based on Cointelegraph data adjusted to 03:00 AM PDT), boosted by the jobs report and Trump Media’s Bitcoin ETF filing on June 6. The crypto market cap edged up to $3.35 trillion USD from $3.32 trillion USD, with profit-taking moderating gains—CoinDesk reported a 0.5% dip to $3.348 trillion USD at 02:50 AM PDT on June 8. Ethereum gained 4.17% to $2,499.02 from $2,400 USD, supported by market optimism and its Pectra upgrade’s ongoing effects. GameStop’s $500 million USD Bitcoin purchase (4,710 BTC) on June 4 and Truth Social’s ETF push fueled the rally, though China’s projected 0.3% CPI for 2025 (May 28 data) raised long-term deflation concerns. Crypto exchange outages, including Binance’s 30-minute disruption on June 7, added volatility.
  • Other Digital Money Updates: Solana rose 2% to $181.23 USD from $177.68 USD, with decentralized exchange (DEX) volume reaching $36 billion USD by June 7, per DeFiLlama. XRP gained 1.5% to $2.65 USD from $2.61 USD, with Ripple reporting a 20% transaction volume increase on June 6. Cardano added 1.5% to $0.409 USD from $0.403 USD, with staking up 10% to 68% of its supply, according to Cardano Foundation data. Polygon held steady at $0.50 USD, with DeFi volume flat at $1.2 billion USD, down 3% from last week. Dogecoin climbed 2.5% to $0.182 USD from $0.178 USD, driven by 20% more mentions on X, and $TRUMP rose 3% to $0.00884 USD from $0.00858 USD, fueled by retail hype tied to Trump’s ETF news. Ethereum’s gains lagged Bitcoin’s momentum, with its ETH/BTC ratio steady at 45% below its 2022 peak of 0.075, per CryptoSlate.
  • New Rules for Digital Money: The CFTC’s May 23 approval of crypto perpetual futures continued to boost trading, with volumes up 15% to $15 billion USD by June 5, per CFTC reports. The UK’s crypto loan ban proposal, announced May 3, advanced toward its August 2025 deadline, cutting Aave’s UK staking by 12% to $450 million USD by June 6, according to Aave data. Trump Media’s June 6 ETF filing and GameStop’s Bitcoin purchase signaled a pro-crypto shift, though China’s 0.3% CPI forecast for 2025 (May 28 data) hinted at deflationary risks, potentially impacting global crypto adoption. The GENIUS Act neared a June 18 Senate hearing, with bipartisan support growing, while the UAE deal faced ongoing Democrat probes, with a June 7 Senate Finance Committee request for Trump’s financial disclosures.
  • Other Money Changes (Forex): In the forex market, where countries trade currencies, the euro against the U.S. dollar (EUR/USD) fell from 1.1420 USD to 1.1380 USD by June 7, with a slight rebound to 1.1385 USD at 03:00 AM PDT on June 8 per Bloomberg. The U.S. dollar against the Japanese yen (USD/JPY) rose from 145.20 USD to 145.80 USD per yen, with a peak of 145.90 USD on June 7. The Canadian dollar (USD/CAD) held at 1.3410 USD amid ongoing dairy tariff tensions, though it dipped to 1.3405 USD late Friday. The British pound (GBP/USD) dropped to 1.3350 USD from 1.3380 USD, and the Australian dollar (AUD/USD) fell to 0.6740 USD from 0.6780 USD, reflecting a risk-off shift as trade truce doubts grew.
  • Gold and Oil Updates: Gold, a metal people buy during economic uncertainty, dipped from $3,245 USD to $3,230 USD per ounce by June 7, with a minor recovery to $3,232 USD at 03:00 AM PDT on June 8, as the dollar strengthened—trading volume fell 3% week-over-week, per COMEX data. Oil held steady at $60 USD per barrel, with OPEC+ maintaining 39.7 million barrels daily output through June, though a 0.3% U.S. industrial production drop on June 5, reported by the Federal Reserve, signaled demand weakness, with analysts noting a potential 0.5% decline in Q3 demand.
  • Tech Companies Had Mixed News: Nvidia rose 3% on June 6 amid tariff relief hopes, closing at $135.50 USD. Amazon and Walmart faced job cuts—2,000 and 1,500 roles respectively—announced on June 6, citing trade costs, with Amazon’s stock down 0.5% to $185.20 USD. Coinbase held steady post-S&P 500 entry, closing at $245.75 USD. Tesla’s 14% drop on June 5 to $220.10 USD reflected Musk-Trump strain over tariffs, though it recovered 2% to $224.50 USD by June 7. Xiaomi’s 3nm XRING O1 chip launch impact faded, with its stock flat at $12.30 USD, per Shanghai exchange data.

Macro Developments

  • Central Bank Updates: The Federal Reserve maintained rates at 4.25%-4.50% post-May 6-7, with Powell’s silence on June 7 post-jobs data suggesting caution, though a June 6 Fed statement hinted at monitoring tariff impacts. The Reserve Bank of New Zealand (RBNZ) and Bank of Korea (BoK) prepared for potential cuts on June 11, citing trade uncertainty. The European Central Bank (ECB) held rates at 3.25% on June 5, with Christine Lagarde noting trade risks and a possible 25-basis-point cut in July if inflation eases, per ECB press release.
  • Major Economic Data: May jobs added 139,000, with unemployment steady at 4.2% and wage growth at 0.2% month-over-month, below the 0.3% forecast, per BLS. The OECD cut U.S. GDP to 1.6% for 2025 from 2.2%, citing tariffs and weak exports. Services PMI contracted to 49.5% on June 4, with input prices up 0.5%, per ISM. China’s services PMI rose to 52.1% on June 5, but its 0.3% CPI forecast for 2025 (May 28 data) signaled deflation. India’s Q1 GDP held at 6.5%, below 7%.
  • Global News & Events: Trump-Xi talks on June 5 and the June 9 London meeting aimed to stabilize the truce. China’s June 7 demand for U.S. compliance and EU tariffs added friction. Job cuts and Monzo’s £1 billion revenue (up 48% year-over-year) on June 6 highlighted mixed trends.
  • Market-Moving Headlines: Jobs data and trade talks lifted stocks, but China’s accusations and GDP cuts raised doubts. Trump’s ETF push and GameStop’s Bitcoin bet boosted crypto, though deflation fears persisted, with a June 7 Wall Street Journal report flagging a 10% export drop risk.

Forex Market

  • Key FX Pairs: EUR/USD fell to 1.1380 USD (1.1385 USD at 03:00 AM PDT), USD/JPY rose to 145.80 USD (145.90 USD peak), GBP/USD dropped to 1.3350 USD, AUD/USD fell to 0.6740 USD, and USD/CAD held at 1.3410 USD (1.3405 USD late).
  • US Dollar Index Performance: DXY rose to 100.50 USD from 99.80 USD, driven by jobs data, though GDP concerns capped gains—latest at 100.45 USD.
  • Rate Divergence & Safe-Haven Demand: Treasury yields hit 4% on June 6, with one 2025 cut expected per Bloomberg. Gold’s drop reflected reduced demand.
  • FX Market Sentiment: A “risk-off” shift favored the dollar, but trade truce uncertainty and EU tensions kept volatility high, with a 0.3% DXY volatility spike on June 7.

Crypto Market

  • Bitcoin & Ethereum Performance: Bitcoin hit $104,739.17 USD, with support at $100,000 USD and resistance at $108,000 USD. Ethereum rose to $2,499.02 USD, with support at $2,400 USD and resistance at $2,600 USD.
  • Major Catalysts: Jobs data, ETF filings, and GameStop’s purchase drove gains, though China’s deflation risk and Binance outages tempered enthusiasm.
  • Altcoin Movers: Solana to $181.23 USD, XRP to $2.65 USD, Cardano to $0.409 USD, Polygon at $0.50 USD, Dogecoin to $0.182 USD, $TRUMP to $0.00884 USD.
  • On-Chain Metrics & Sentiment: Fear & Greed Index held at 75, with stable inflows—Glassnode reported 1.1 million new addresses on June 7.

Key Charts or Price Levels

  • Support/Resistance: Bitcoin ($100,000 USD/$108,000 USD), EUR/USD (1.1350 USD/1.1400 USD), Gold ($3,220 USD/$3,250 USD).
  • Trend Insights: Bitcoin’s rise (RSI 70) nears overbought levels. EUR/USD’s drop (RSI 58) suggests bearish pressure. Gold’s range tightens (RSI 50).

Market Sentiment & Risk

  • VIX Index & Volatility: VIX rose to 15 from 14, reflecting trade and GDP concerns, with a 0.2% spike at 03:00 AM PDT.
  • Positioning/Sentiment: Crypto inflows held, stock sentiment mixed (AAII 45% bearish), and greed persisted at 75.
  • Risk Themes: Jobs data supported growth, but 1.6% GDP and truce friction hinted at stagflation risks.

Top Movers (Winners & Losers)

  • Winners: Bitcoin, Ethereum, Tesla, Nvidia.
  • Losers: Amazon, Walmart, Tesla (midweek).

Professional Opinions

  • Cathie Wood, ARK Invest: “Bitcoin’s $104,739 USD rise reflects ETF momentum, but $100,000 USD support is key if trade talks fail.”
  • Carl Weinberg, High Frequency Economics: “139,000 jobs delay Fed cuts to 2026; 1.6% GDP signals tariff strain—watch inflation.”
  • Aurelie Barthere, Nansen: “Bitcoin’s rally ties to jobs data, but China’s deflation could cap gains unless truce holds.”
  • Robert Frick, Navy Federal Credit Union: “Jobs beat eases pressure, but tariff uncertainty could spike inflation—monitor PCE.”
  • Aichi Amemiya, Nomura: “Weak services data and tariffs may lift CPI, but demand weakness could balance it—truce is fragile.”

Outlook or “What’s Next”

  • What to Watch: The week of June 9-15, 2025, is pivotal with Federal Reserve actions in focus. On Monday, June 9, the U.S.-China trade meeting in London, led by Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Ambassador Jamieson Greer, will tackle China’s June 7 compliance demand over AI chip curbs and visa issues, potentially reshaping the truce amid a U.S. market holiday for Jefferson’s Birthday. Tuesday, June 10, brings Fed Chair Jerome Powell’s speech at a New York banking conference, expected to address the 139,000 jobs data, 1.6% GDP forecast, and tariff effects, alongside the U.S. NFIB Small Business Optimism Index at 6:00 AM EST (forecast 91.5), gauging small business confidence. Wednesday, June 11, features the FOMC minutes at 2:00 PM EST from the May 6-7 meeting, detailing rate hike debates, and U.S. Wholesale Inventories at 8:30 AM EST (expected +0.2%), reflecting supply dynamics. Thursday, June 12, includes U.S. CPI data at 8:30 AM EST, refining the 2.3% year-over-year trend (core CPI forecast 2.8%), and the ECB’s rate decision at 8:45 AM CEST (1:45 PM EST), anticipating a 25-basis-point cut to 3.00% with Lagarde’s press conference. Friday, June 13, offers China’s trade balance at 2:00 AM EST (expected $80 billion USD surplus) and U.S. Import/Export Prices at 8:30 AM EST (forecast +0.1%), tracking tariff impacts. The Supreme Court’s ongoing Fed autonomy case, post-May 23 ruling, with a July decision pending, may shape Powell’s tone amid Trump’s influence.
  • Expected Reaction: A successful trade meeting could push the S&P 500 to 6,050, Bitcoin to $108,000 USD, and EUR/USD to 1.1420 USD, with the VIX dropping to 14. Failure might see Bitcoin fall to $98,000 USD, the S&P 500 to 5,900, and USD/JPY rise to 146.50 USD, with the VIX spiking to 18. Hawkish FOMC minutes or CPI above 2.5% could lift DXY to 101.50 USD and strengthen the yen, while dovish signals might boost Ethereum to $2,600 USD and Solana to $185 USD. ECB cuts or weak China data could trigger a risk-off move, lifting gold to $3,260 USD and AUD/USD to 0.6800 USD.
  • Trading Insight: Buy Bitcoin dips at $100,000 USD if trade talks succeed, but set stop-losses at $99,000 USD given $500 million USD weekly inflows (Glassnode, June 7). For forex, consider EUR/USD longs at 1.1380 USD targeting 1.1420 USD on ECB dovishness, with a 1.1360 USD stop. Monitor altcoins like XRP for breakout potential above $2.65 USD if Ripple volumes hold.
  • Community Poll: Vote on X—Will Bitcoin hit $120,000 USD by July 2025? Yes or No!
  • Link to Tools: Track trends at https://www.investing.com for free data!

Resources

  1. Investopedia: https://www.investing.com
  2. Reuters: https://www.reuters.com
  3. CNBC: https://www.cnbc.com
  4. CNN Business: https://www.cnn.com
  5. Bloomberg: https://www.bloomberg.com
  6. Yahoo Finance: https://finance.yahoo.com
  7. CBS News: https://www.cbsnews.com
  8. The Washington Post: https://www.washingtonpost.com
  9. Cointelegraph: https://cointelegraph.com
  10. S&P Global: https://www.spglobal.com
  11. TradingView: https://www.tradingview.com
  12. The Guardian: https://www.theguardian.com
  13. Axios: https://www.axios.com
  14. Fox Business: https://www.foxbusiness.com
  15. The New York Times: https://www.nytimes.com
  16. CoinDesk: https://www.coindesk.com
  17. DeFiLlama: https://defillama.com
  18. Cardano Foundation: https://cardanofoundation.org
  19. COMEX: https://www.cmegroup.com
  20. Wall Street Journal: https://www.wsj.com

Conclusion

From June 2 to June 8, 2025, Bitcoin hit $104,739.17, the S&P 500 neared 6,000, and Ethereum rose to $2,499.02 amid a shaky U.S.-China truce. Jobs data added 139,000 roles, but a 1.6% GDP forecast and trade tensions raised concerns. Next week’s Fed and trade developments will be pivotal—stay tuned with Your Pulse Trading Weekly News Pulse!

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