Bitcoin Slips as Trump Revives China Tariff Threats — PCE Data Offers No Relief
Bitcoin and Ethereum dipped 1% and 2.5% respectively after former President Trump reignited trade tensions with China, accusing them of breaching the US-China trade pact. Despite April’s US Core PCE inflation matching expectations at 2.5% year-over-year (down from 2.7%), and overall PCE coming in slightly below forecasts at 2.1%, markets showed little relief. The data suggests the Fed may not rush to cut interest rates, offering no clear bullish catalyst. Trump's latest statement warned of harsh tariffs and accused China of violating the deal, causing renewed macro uncertainty and dragging crypto lower — continuing a trend of weekend volatility sparked by geopolitical tensions since February.
