Bitcoin price dropped sharply, sliding 4% in the past 24 hours to $108,398. The decline follows tariff reductions announced by President Donald Trump after a US-China trade agreement. Broader crypto markets also mirrored this sentiment, falling over 4% overall.
Trump Cuts Tariffs: U.S. and China Seal Trade Deal
The U.S. tariffs on Chinese imports are going to be reduced considerably as President Donald Trump met with Chinese President Xi Jinping in South Korea. The two leaders had a two-hour conversation, which resulted in a one-year trade deal on rare earths and critical minerals. Under the sad, the U.S. decreased its overall tariffs on Chinese merchandise by a fraction of 57 to 47 percent and decreased the fentanyl-related tariff to ten percent.
The meeting was termed by Trump as amazing, as China promised to purchase U.S. soybeans and reduce the production of fentanyl. The news gave investors confidence and a resurgence of Bitcoin and the global markets.
The conference was also based on fresh U.S. trade agreements with Japan and South Korea, which indicated closer cooperation in the regional economy. The two countries had agreed to revisit the deal a year later, and President Xi was to visit the United States, and President Trump was to visit China in April 2026.
Bitcoin Struggles Near Key Resistance Levels
Crypto analyst highlighted that Bitcoin price has revisited the crucial support range between $107,000 and $108,000. The BTC was able to recover after reaching this point, and this provided relief to the traders in the short term. Nevertheless, the analyst pointed out that Bitcoin price forecast should soon reclaim the price zone of $113,500 to be in an upward momentum.
Analyst tweeted that not reaching beyond this resistance on a weekly basis might result in mounting a threat of a bigger market correction.
Can BTC price Hold Above Key Support as Selling Pressure Mounts?
The price of Bitcoin declined sharply today, extending losses to trade near the $107,600 mark on the four-hour chart. The cryptocurrency was unable to maintain above the important $110,000 support, indicating a new wave of selling by short-term traders. The Relative Strength Index (RSI) is at the current level of 29.36, which points to oversold.
The Moving Average Convergence Divergence (MACD) line is also below the signal line, which further supports a bearish arrangement. The histogram still shows red bars, which means that momentum is still biased to the downside in the near future.
A break above $110,000 could encourage short-term buyers and open the path toward $113,500 and $115,000, respectively. However, continued weakness below $107,000 may invite deeper losses toward $104,000 and possibly $101,500.
Source: BT/USD 4-hour chart: TradingViewThe declining clout of Bitcoin has been triggered by the announcements on tariff cuts and trade deals by Trump. The market mood is bearish, and the resistance points curtail gains. The persistent weakness can lead to additional drops, and recovery will require new investor confidence and market expansion.
Source: https://coingape.com/markets/bitcoin-price-forecast-as-trump-cuts-tariffs-after-us-china-trade-deal/
