New US-China Trade Agreement: Implications for Crypto Investors (Details)

Following a week of anticipation and building hype, the US and China delegates finally met in Geneva, Switzerland, to discuss a potential trade deal.Although the initial statements from both countries are positive in terms of reaching a mutual understanding, the crypto market has reacted with a minor retracement, while Santiment warned investors to exercise caution for now.The US-China DealThe official statement from the White House contained quotes from two major US representatives, including Secretary of the Treasury Scott Bessent.“I’m happy to report that we made substantial progress between the United States and China in the very important trade talks [...] We will be giving details tomorrow, but I can tell you that the talks were very productive [...] And I spoke to President Trump, as did Ambassador Jamieson, last night, and he is fully informed of what is going on. So, there will be a complete briefing tomorrow morning.”US Trade Representative Ambassador Jamieson Greer also spoke on the matter, and his words were similarly vague, with little to no details. Greer reminded that this whole situation stemmed from President Trump’s national emergency declaration, as the administration found a “massive $1.2 trillion trade deficit.”However, the delegation is “confident that the deal we struck with our Chinese partners will help us to work toward resolving that national emergency.”Proceed With CautionSantiment revealed that stock markets (Asian and futures in the States) reacted positively after the statements from Beijing and Washington went out, as traders anticipate that “tariffs will no longer be an anchor holding back their investments.”The analytics platform added that the tariff discussion rates have gone through the roof for the first time since the crypto market’s bottom just over a month ago.BTC’s price first jumped to $105,000 but lost some steam and now trades at a grand lower. Most larger-cap alts are also slightly in the red on a daily scale. Consequently, Santiment urged investors to be wary of further upcoming volatility and to wait for the actual details of the deal.“If this deal indeed does immediately reduce the impacts on exporters & importers for both countries, we should see an instant bullish impact on all markets. Just avoid overextending until confirmations are made to avoid getting trapped into any “buy the rumor, sell the news” scenarios.”The post New US-China Trade Agreement: Implications for Crypto Investors (Details) appeared first on CryptoPotato.