Bitcoin Drops Below the $100,000 Mark Following China’s Announcement of New Tariffs on American Imports

The Chinese Ministry of Finance has just announced its response to American measures. Starting February 10, Beijing will impose tariffs of 15% on coal and liquefied natural gas

China announced new tariffs on American imports, sparking concerns in the markets. This decision comes amidst ongoing trade tensions between the two powers, which have escalated following Trump's administration measures.

The Chinese Ministry of Finance has unveiled its response to the American actions. Commencing February 10, Beijing will impose tariffs of 15% on coal and liquefied natural gas, and 10% on crude oil, agricultural machinery, and specific vehicles imported from the United States.

This announcement follows Donald Trump's decision to grant a 30-day reprieve on the 25% tariffs intended for Canada and Mexico. However, China remains subject to the 10% tariffs imposed on February 1st.

In addition to these taxes, Beijing has announced restrictions on the export of strategic metals such as tungsten and molybdenum, which are crucial for the technology industry.

These retaliatory measures, which China justifies by accusing Washington of violating WTO rules, threaten global supply chains. The technology and energy sectors are particularly vulnerable, and the crypto market, considered a risky asset, is already reacting to these tensions between the two largest economic powers.

Bitcoin Drops After China's Trade Retaliation

Bitcoin has displayed high volatility since Monday, falling to $92,800 before rising again to $98,400. While the suspension of tariffs for Mexico and Canada briefly reassured the markets, the announcement of Chinese retaliatory measures now weighs on prices.

An analyst at Presto Research, Min Jung, explains that “cryptocurrencies react like traditional stocks in the face of geopolitical tensions. Volatility will persist as long as the situation remains tense”. Justin d’Anethan from Liquifi warns of a possible domino effect if the trade conflict extends to Europe.

For Nick Ruck, director of LVRG Research, the absence of an agreement between Washington and Beijing could lead to further losses. These tensions call into question Bitcoin’s status as a safe-haven asset, which is now more sensitive to geopolitical risks.

In summary, this new reality forces investors to rethink their strategies, as Trump has just created a national sovereign fund aimed particularly at the potential acquisition of TikTok.