Table of Contents
President Biden's recent announcement of tariffs on Chinese imports, including a 100% tariff on Chinese EVs, has raised concerns about a potential revival of the US-China trade war. This could have significant implications for Bitcoin, as Chinese state actions and investors continue to play a vital role in the cryptocurrency's price. The trade war could lead to increased inflation, which would have a short-term negative impact on Bitcoin but could be bullish in the long term. Additionally, Bitcoin miners may face increased tariffs on mining equipment, and there is a growing "battle of jurisdictions" in the realm of custody of Bitcoin. If US-China tensions escalate to kinetic conflict, it could lead to dramatic short-term effects on Bitcoin prices. Overall, the potential for a new US-China trade war and its impact on Bitcoin is a topic of concern for investors and analysts.
