The pattern and scale of commerce worldwide have been greatly transformed by the Fourth Industrial Revolution and technological advancement; digital trade has become the primary form of trade in the digital economy. On the basis of information network infrastructure, information technology level, digital industrialization level, and industrial digitalization level, this study establishes a comprehensive assessment system that applies an entropy–TOPSIS model to evaluate digital trade development level in China. The results indicate that digital trade in China was steadily growing between 2010 and 2019. A principal component analysis is conducted to identify factors affecting the digital trade development level in China. The analysis results suggest that Internet development, population income, industrial structure, payment convenience level, fixed asset investment, online transaction scale, and economic development all have positive effects on the digital trade development level in China, with payment convenience level having the greatest influence. By contrast, state intervention and degree of dependence on foreign trade have a negative effect on digital trade development.