Bitcoin Slumps to $104,782 Following Trump’s Trade Escalation

Bitcoin, the world’s leading cryptocurrency, extended its recent decline to $104,782, falling over 8% in a single session. The drop comes as U.S. President Donald Trump announced sweeping escalations in the U.S.–China trade war, including 100% tariffs on Chinese exports and tighter export controls on critical software—moves that rattled global markets and investor sentiment.

The broader sell-off in risky assets deepened after Trump’s measures, with major equity indices also tumbling. Ethereum, the second-largest cryptocurrency, fell about 5.8% amid the market strain.

Drivers Behind the Drop

• The heightened trade conflict has reignited fears of a slowdown in global economic growth, leading investors to liquidate speculative holdings.
• Tightening U.S. policies—especially the threat of export controls on technology—raise structural risks for sectors tied to innovation, which often attract crypto capital.
• The ripple effect on equities and macro sentiment made crypto’s volatility more pronounced as participants reassess risk exposures.

What Next for Crypto Markets?

Analysts caution that with macro headwinds strong, further declines in digital assets may follow. Bitcoin’s behavior in this environment depends heavily on how markets interpret the broader trade-off between stimulus, regulation, and global growth risks. Some see current levels as a potential buying zone if sentiment stabilizes; others argue weakness may persist until trade tensions ease.