Bitcoin Plummets Following Trade News: Volatility Sparks Sell-Off

Bitcoin is experiencing a significant downturn, dropping to the $83,500 range after news of continuing Chinese tariffs. This drop follows rapid reversal of recent gains, fueled by market reactions and disappointment surrounding former president Trump’s statements. The lack of exemptions for China has led to a substantial loss in value, impacting Ethereum (ETH) and Shiba Inu (SHIB) prices as well. Trading volatility sparked a shock sell-off, potentially driven by concerns about the US Federal Reserve’s potential response. If the current trend persists, it may lead to the Fed reversing its tightening policy by initiating bond purchases.