NEW YORK/LONDON, May 8 (Reuters) - Bitcoin surged above $100,000 on Thursday for the first time since early February, boosted by a broad agreement between the United States and Britain that may indicate U.S. President Donald Trump's trade war with the rest of the world is easing.

Bitcoin was trading at $101,329.97 by midday, up 4.7% on the day. Prices of the world's largest cryptocurrency have returned to positive territory this year, but remain below an all-time high of more than $109,000 reached in January.

Ether, the cryptocurrency on the Ethereum blockchain, surged more than 14% to $2,050.46 after hitting its highest level since late March.

Trump and British Prime Minister Keir Starmer announced a trade "breakthrough deal" on Thursday that retains a 10% tariff on British imports into the United States, while Britain agreed to cut tariffs to 1.8% from 5.1% and provide greater access to U.S. goods.

The deal is the first since Trump returned to the White House in January and slapped a series of tariffs on trading partners, sparking a global trade war.

“Reclaiming $100,000 has to be one of Bitcoin’s most daunting feats and a reminder that buying at the height of panic — just last month, Bitcoin was hovering around $74,000 — can be very profitable,” Antoni Trenchev, co-founder of digital asset trading platform Nexo, said in an emailed comment.

“The speed of the rally to $100,000 amid a recovery in risk appetite signals that $109,000 and above is imminent as long-term holders (holding for at least 155 days) buy more than short-term holders sell.”

The price of Bitcoin and other cryptocurrencies fell sharply between February and April as traders worried that Trump was moving more slowly than expected to push through cryptocurrency reforms.

In early April, the president’s announcement of sweeping tariffs triggered a rush to safe-haven assets, sending Bitcoin and other crypto prices tumbling in sync with stocks and other riskier assets.

The recovery in other cryptocurrencies has not been as strong, with Ethereum still 50% below its late 2024 high.

Joel Kruger, market strategist at financial technology firm LMAX Group, said institutional investor inflows into bitcoin exchange-traded funds (ETFs), easing geopolitical tensions and China's increased monetary stimulus have all driven bitcoin's surge.