The United States has taken concrete steps in its tariff negotiations, leading to the signing of the first trade agreement. Earlier this week, it was predicted that the cryptocurrency markets could experience a significant shift due to the new developments, and that prediction has now materialized. This change comes alongside the recent statements made by White House Press Secretary Leavitt, addressing the latest dynamics in US-China relations and their implications for the cryptocurrency landscape.
US, China, and Cryptocurrencies
While drafting this report, White House Press Secretary Leavitt made public remarks countering accusations made by Democrats about potential personal financial gains by Trump from cryptocurrencies. Leavitt assured that all conflict-of-interest regulations are being adhered to. Furthermore, with an upcoming meeting with China, efforts are being made to clarify the financial markets’ understanding of the situation.
“Trump will not unilaterally reduce tariffs on China. The 80% figure was put forth by Trump. The US needs concessions from China, and the 10% tariff approval is a basic commitment.”
China plans to send President Xi Jinping’s security advisor to the US for trade discussions. Key individuals, including Bessent, will be present to engage with senior officials. Though initially publicized as a meeting involving lower-ranking officials, the significance of the meeting has escalated.
In June, it’s possible that China’s President Xi will visit the US, and mutual concessions are shaping the anticipated framework for tariff adjustments. With talks underway with China, a signed agreement with the UK, nearing completion with India, the EU ready to import over 100 billion euros, China willing to import more, and Japan eager to sign the deal, it seems the tariff dispute may largely be resolved. However, a 10% base rate might remain in place.
These developments strongly indicate a further rise in the value of cryptocurrencies.