Bitcoin is losing ground as its price drops to $97,600.
Bitcoin has dropped to $97.6 thousand due to escalating trade tensions between the United States and China. The SEC is downsizing its cryptocurrency regulation division amid the Trump administration's policies.
As reported by Investing.
Bitcoin fell by 1.8%, reaching $97,601.8. Over the past two days, the cryptocurrency briefly exceeded the $100,000 mark but failed to maintain that level due to the intensification of trade disputes between Washington and Beijing, as noted in the article.
The escalation began after the U.S. imposed a 10% tariff on Chinese imports, citing national security concerns. In response, China implemented retaliatory tariffs on American goods, including liquefied gas, coal, oil, and agricultural equipment.
According to Investing, the worsening situation has prompted investors to act more cautiously, increasing volatility in the markets. For instance, gold prices reached record levels as traders sought safe assets amid uncertainty. Bitcoin's failure to hold above $100,000 reflects a broader trend of avoiding risky assets.
At the same time, the U.S. Securities and Exchange Commission (SEC) is reducing its cryptocurrency regulation division, reallocating lawyers to other departments as part of the Trump administration's policy aimed at reducing oversight of the cryptocurrency market.
Potential easing of regulatory control by the SEC could be a positive factor for Bitcoin. However, overarching macroeconomic challenges, particularly the intensification of the trade dispute between the world's largest economies, have overshadowed this potential momentum.
The second-largest cryptocurrency, Ether, rose by 0.5% to $2,741.53, while XRP, in third place, fell by 1.1% to $2.4957. Solana lost 0.7%, Polygon remained nearly unchanged, and Cardano declined by 0.3%. Among meme tokens, Dogecoin remained stable.
Background. Earlier, Mind reported that the cryptocurrency market collapsed by 20–30%: Bitcoin dropped to $91,441.89, while Ether fell to $2,494.33.