Bitcoins
Bitcoins Bitcoin Drops 8% to $93K as Asia Awakens to Trump’s Trade War
Bitcoins As Asia begins its trading day, BTC’s weakness likely reflects fears that a trade war could freeze global growth
Updated Feb 3, 2025, 6:12 a.m. UTCPublished Feb 2, 2025, 8:50 a.m. UTC
Bitcoin (BTC), the leading cryptocurrency by market value and the only macro asset open for trading over the weekend, opened Asia’s trading week
Canadian Prime Minister Justin Trudeau said the country would impose 25% tariffs on U.S. goods, from drinks to appliances, after President Donald Trump imposed a 25% tariff on Canadian and Mexican imports and 10% on goods from China. China said it would file a case against the U.S. at the World Trade Organization while vowing unspecified countermeasures to safeguard its interests.
The renewed trade war, coupled with mass deportations of illegal migrants from the U.S., could add to inflation, weakening the case for speedy Fed rate cuts. BTC’s price weakness likely reflects these concerns and offers risk-off cues to traditional risky assets. The broader crypto market followed BTC lower, with the CoinDesk 20 Index falling over 2%.
Omkar Godbole
Omkar Godbole is a Co-Managing Editor on CoinDesk’s Markets team based in Mumbai, holds a masters degree in Finance and a Chartered Market Technician (CMT) member. Omkar previously worked at FXStreet, writing research on currency markets and as fundamental analyst at currency and commodities desk at Mumbai-based brokerage houses. Omkar holds small amounts of bitcoin, ether, BitTorrent, tron and dot.
Omkar Godbole Read More