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The Bitcoin price and the entire crypto and stock market have been active about the grace of the tariff wars that are inflamed by US President Donald Trump after they are sworn in function. The initial wave of tariff increases on countries such as China caused massive accidents in financial markets, which means that the Bitcoin price was $ 80,000. However, the tariff wars are approaching their end with the last announcement of the White House with regard to trade between the United States and China.
White House announces the reduction of Chinese rates
In April 2025, US President Donald Trump had announced a drastic increase in rates on Chinese goods to a high 145%, with more than 180 countries that also saw tariff increases. This led to a wave of panic and retribution, which means that what is now known as the ‘tariff wars’. As the discussions progressed, another announcement revealed a 90 -day break in April on rates for other countries, with the exception of China.
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Although China still had to exempt, the 90-day break had a positive effect on the market as the Bitcoin price was restored, Take the crypto market with it. Since then, the Bitcoin price has since been found more than $ 100,000, as well as the stock market that sees several green days.
Trade discussions have since been underway between China and the United States and a stopgap has been introduced for the time being. In one rack It was announced on the Witte Huis website that both the Chinese and the United States of the US Economic and Trade Meeting in Geneva had agreed to change their respective applications and to implement a suspension of 24 percentage points of rates.
This agreement is expected to be present for a first period of 90 days, giving both parties time for more discussions about a resolution. The explanation was that this was done in “the spirit of mutual opening, continuous communication, cooperation and mutual respect.”
Why the Bitcoin price could explode
Currently, the meeting of the Bitcoin price Driven by the positive news about the rates. So it is expected that more positive news will continue to increase the price. The agreement between the US and China states that both countries should have implemented the tariff reduction by 14 May 2025. With another day, this deadline could activate another rally.
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As the news of the suspension starts to make the rounds, it indicates at least no negative news for the rates for the next three months. This gives time and especially, trust in risk assets such as Bitcoin for investors looking for profits. With the efficiency of investors on the risk market, the Bitcoin price could quickly cross $ 110,000 on Wednesday.
Featured image of dall.e, graph of tradingview.com