🔶👉 #Bitcoin Drops Below $100,000 Again – Here's Why!

Donald Trump and his move to impose tariffs on neighboring countries has caused a renewed downturn on Wall Street and has also affected the price of Bitcoin.

Bitcoin fell below $100,000 after Donald Trump signed an executive order imposing import tariffs on goods from China, Canada and Mexico. The move immediately sparked reactions from the countries concerned and polarized opinions on its impact on the cryptocurrency market.

Tariff hike and immediate retaliation
According to a White House statement on February 1, Trump imposed an additional tariff of 25% on imports from Canada and Mexico and 10% on imports from China. Energy commodities from Canada were set at a lower rate of 10%.

Trump said in the announcement that he was “taking decisive action to ensure that Mexico, Canada and China fulfill their promises to stop illegal migration and prevent the flow of dangerous drugs into the United States.”
Reactions to this step were not long in coming.

For example, Canadian Prime Minister Justin Trudeau announced the imposition of a 25% tariff on $106.5 billion worth of American goods.

China’s Ministry of Commerce said it would file a complaint with the World Trade Organization (WTO) and take “appropriate countermeasures.”

And Mexican President Claudia Sheinbaum announced the implementation of a “Plan B,” which includes tariff and non-tariff measures to protect Mexican interests.

Bitcoin reacts by falling

After the announcement of retaliation, Bitcoin fell below $100,000 for the first time since January 27, and is currently trading at around $99,000.

Meanwhile, experts in the cryptocurrency community are still divided on how the introduction of tariffs will translate into market movements.

Dan Gambardello, founder of Crypto Capital Venture, does not think that the tariffs will be the reason for the end of Bitcoin’s growth cycle, stating: “I can’t believe that there is a popular belief that Trump’s tariffs ended Bitcoin’s growth cycle.” Gambardello also recommended that people watch the movement in Bitcoin ETFs, which remain strong, which is clear evidence that demand for BTC from Wall Street is not decreasing.

Jeff Park of Bitwise Invest even thinks that these tariffs and the trade war will play into Bitcoin’s favor: “A long-term trade war will be great for Bitcoin.”

But among the skeptics is Adam Cochran of Cinnaehamhain Ventures, who warned that “Bitcoin is no longer as isolated from global markets and is behaving like a triple-leveraged tech stock.” In other words, if the trade war is bad for the U.S. stock market, it could also negatively impact cryptocurrencies.
#Bitcoin