Bitcoin poised for surge as China pledges response to Trump’s 50% tariff move

With China threatening strong retaliation against Trump’s tariff demands, Bitcoin might be primed for a breakout, following its history of thriving amid geopolitical turmoil. Geopolitical tensions seem to be drawing attention back to Bitcoin ( BTC ), with Matrixport forecasting a potential rally like in 2015, when the yuan’s devaluation triggered a sell-off before BTC rebounded by the end of the year. In a recent research report on X, the analysts at the Singapore-based blockchain firm pointed out that the USD/CNY exchange rate is nearing key resistance levels, which could trigger a Bitcoin breakout as the yuan faces increasing pressure. 📊Today’s #Matrixport Daily Chart – April 8 2025 🔽 Bitcoin Poised for Rally as USDCNY Approaches Key Resistance #BTCETF #Matrixport #BTC #Crypto #market #trading $BTC #MarketTrends #RMB #USDCNY #Market #US pic.twitter.com/ZVgRV5Zt69 — Matrixport Official (@Matrixport_EN) April 8, 2025 Despite short-term concerns over U.S. Treasury yields, the analysts still appear to be optimistic about Bitcoin’s long-term potential. “In 2015, following RMB devaluation, Bitcoin initially experienced a sell-off but concluded the year with significant strength. We may see a similar scenario unfold now, as parallels emerge with our bullish gold research from 18 months ago.” Matrixport You might also like: Bitcoin bleeds, stocks sink, and tariffs spike — is this the start of a global sell-everything moment? Geopolitical battle This all ties back to the broader U.S.- China tensions, with Beijing saying it will “fight to the end” over President Donald Trump ‘s threat of a 50% tariff on Chinese goods. The situation has gotten more heated, with Trump insisting on new tariffs unless China pulls back on its retaliatory measures, which already include 34% tariffs on U.S. goods. China has taken a strong stance, warning that more tariffs will just highlight the U.S.’s aggressive approach, which they call “blackmailing.” “The U.S. side’s threat to escalate tariffs against China is a mistake on top of a mistake, once again exposing the American side’s blackmailing nature.” A spokesman for China’s commerce ministry For Bitcoin, the growing geopolitical risk and a weaker yuan could create a good opportunity for growth, as investors look to crypto as a hedge against inflation and market uncertainty, the analysts suggest, adding that current prices “may be artificially suppressed,” but still “ready to surge upward rapidly.” Read more: Crypto markets on edge as Trump threatens historic tariff hike on China

Source: crypto.news