China Crypto

Crypto Market Plunges as China Strikes Back with Tariffs and Google Probe

Cryptocurrencies plunged early Tuesday following China’s announcement of retaliatory measures against the U.S., including fresh tariffs and an antitrust probe into Google. The market downturn comes amid broader global economic uncertainties, with investors reacting sharply to rising tensions between the world’s two largest economies.

Crypto Market Reels from U.S.-China Trade War

The ongoing geopolitical friction has triggered massive liquidations, with over $2.2 billion wiped out across the crypto market. Leading cryptocurrencies have suffered significant losses, with Dogecoin (DOGE) leading the decline at 5.8%, closely followed by XRP, which slumped 5.1%.

Despite the broader market downturn, Bitcoin (BTC) has shown relative resilience, slipping just 1.3% to trade at $98,934, according to CoinGecko data. This suggests that investors may still be viewing BTC as a hedge against broader macroeconomic risks.

China’s Retaliatory Tariffs Shake Markets

According to reports from the South China Morning Post, Beijing has imposed new tariffs ranging from 10% to 15% on U.S. imports, further escalating the trade conflict. Key affected goods include coal, liquefied natural gas (LNG), oil, and agricultural equipment, as per Bloomberg.

These measures come in direct response to U.S. tariff hikes, intensifying uncertainty across global markets. The NASDAQ 100 futures reacted immediately, plunging 1.7% before slightly recovering to a 1.2% decline by late afternoon, as per Yahoo Finance data.

Commodity Prices Reflect Market Anxiety

The turbulence has extended to commodities, with natural gas tumbling 2% and crude oil sliding 1.74%. Copper, however, emerged as an outlier, posting a modest 0.35% gain, signaling selective investor optimism in specific resource sectors.

In a move that further strains relations, China’s State Administration for Market Regulation has launched an antitrust investigation into Google, as reported by Bloomberg. This development coincided with the activation of U.S. tariffs, suggesting a direct countermeasure against Washington’s economic policies.

Also Read: US-China Trade War Escalates: Crypto Markets React to New Tariffs, Bitcoin Holds Steady Near $100K

As tensions mount, the cryptocurrency market remains highly volatile. Investors will be closely watching further developments in the U.S.-China trade dispute, as additional retaliatory actions could lead to further market instability.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

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