China announced that starting from April 10, it will impose a 34% tariff on all imports from the United States. This decision escalates tensions in the ongoing trade dispute between the two economies.
As a result of the announcement, the price of Bitcoin fell by 3% and for a time remained below the level of $82,000, reflecting increasing uncertainty among investors. This change also affected the cryptocurrency market – the Long/Short ratio shifted in favor of short selling, suggesting a rise in pessimistic sentiment.
Additionally, American cryptocurrency miners may feel the impact of increased import costs for mining equipment, as many key components come from China. In response to the U.S. decision, China argues that American actions violate WTO rules and destabilize the international trading order.