Биткоин падает на фоне торговой напряженности между США и Китаем, опускаясь ниже $108 000 Translation: Bitcoin Drops Amid U.S.-China Trade Tensions, Falling Below $108,000

The value of the leading cryptocurrency has fallen below $108,000, a decline driven by macroeconomic uncertainties, particularly the trade tensions between the U.S. and China.

In the past 24 hours, Bitcoin has decreased by 3.2% and is currently trading around $108,000. On October 20, the asset briefly rose above $111,000.

According to Jeff May, the COO of BTSE, the market will likely continue to experience volatility, which he attributes to the ongoing trade friction between the U.S. and China. May believes that the recent dip is linked to traders reducing risks ahead of the upcoming meeting between the two nations’ leaders.

*»Even if they reach an agreement, it’s unlikely that the tension will dissipate completely,»* he remarked.

This pressure has also affected the altcoin market, with Ethereum down 4.8%, BNB declining by 6%, and Solana slipping by 4.5%.

Spot cryptocurrency ETFs have also seen capital outflows. According to SoSoValue, Bitcoin funds experienced a withdrawal of $40.47 million, while Ethereum-based instruments saw $145.68 million exit.

The fear and greed index has dropped to 34.

Traders are now awaiting the release of the consumer price index. Inflation data could influence the U.S. Federal Reserve’s decision on interest rates. Based on the CME FedWatch tool, the probability of a 25 basis point reduction is at 98.9%.

At the time of writing, the total liquidation amount reached $322.59 million.

For comparison, the market crash on October 11 resulted in a staggering $19 billion in liquidations. However, this event demonstrated the resilience of the digital asset ecosystem, as stated by analysts from TD Cowen.

*»While the recent episode caused financial strain for many investors, we are impressed by how well the underlying ecosystem functioned,»* the experts wrote.

They highlighted that this was the largest single-day liquidation in history, yet most cryptocurrency exchanges operated with minimal disruptions.

Experts estimate that less reputable tokens were «wiped out,» whereas Bitcoin and Ethereum maintained their positions. For instance, Bitcoin briefly hit a low of -15% but closed the day down only 8%.

TD Cowen analysts remain optimistic about the flagship cryptocurrency, forecasting a price increase for Bitcoin to $141,000 by December.

In addition to market resilience, experts noted the ongoing global adoption of Bitcoin. They cited Japan, where the number of registered accounts with digital assets has quadrupled to 7.9 million.

*»This growth has prompted the country’s Financial Services Agency to reconsider its long-standing ban on banks investing in digital assets like Bitcoin,»* the analysts concluded.

Analyst Willy Woo believes that the next bear market in the crypto space will differ from previous ones. He argues it will be defined by a downturn in the «business» cycle, which the industry has not encountered yet.

Historically, Bitcoin’s market cycles were influenced by halving events and actions taken by central banks affecting the global money supply. Now this cycle will be influenced by an additional factor.

According to Woo, the key indicator will be an economic recession. The last significant downturns occurred in 2001 and 2008, prior to Bitcoin’s existence.

The crucial question is how the first cryptocurrency will behave under such conditions.

*»Will Bitcoin fall like technology stocks, or will it act like gold?»* the analyst pondered.

A recession is a period of economic decline characterized by a drop in GDP and rising unemployment. Woo believes that crypto markets are not insulated from these processes, as they impact overall liquidity.

For instance, during the dot-com bubble in 2001 and the financial crisis in 2008, the S&P 500 index fell by more than 50%.

The analyst reminded us that markets are speculative and often price in future events ahead of time.

*»Either Bitcoin is already signaling to global markets that the peak has passed, or it has some catching up to do,»* concluded Woo.

As a reminder, on October 17, the price of digital gold dropped below the $105,000 mark.