U.S. Reduces Tariffs on China: Will Bitcoin Recover from the Recent Decline Below $108K?
The recent meeting between U.S. President Donald Trump and Chinese President Xi Jinping has resulted in tariff reductions and renewed conversations about trade.
Earlier today, the leaders of the world’s two largest economies convened in South Korea, leading to several tariff cuts imposed on China.
U.S. President Donald Trump announced the outcomes of this meeting, particularly the significant reduction of tariffs from 57% to 47%, with some products, including fentanyl, slashed to just 10%.
BREAKING: President Trump declares tariff reductions on China following an “amazing” meeting with President Xi Jinping, comprising:
- Fentanyl Tariffs lowered to 10%, immediately effective.
- Overall tariffs on China down from 57% to 47%.
- China to “discuss” chip restrictions with Nvidia… — The Kobeissi Letter (@KobeissiLetter) October 30, 2025
Both nations will also collaborate on the ongoing conflict regarding Russia and Ukraine. Moreover, China has agreed to negotiate chip restrictions with Nvidia. President Trump also announced a one-year agreement on rare earth supplies and plans to visit China in April 2026.
“On a scale of 0 to 10, I would say the meeting with President Xi was a 12,” Trump stated.
The tariff negotiations have historically influenced Bitcoin’s price. Remember the event when Trump announced new tariffs on October 10, causing Bitcoin’s price to plunge below $110,000?
Today, Bitcoin recently fell below $108,000 for the first time in a week, surprising many given the recent Fed’s rate cut announcement. Yet, Bitcoin rebounded above $110,000 as news of the U.S.-China deal circulated.
Despite this, the drop in Bitcoin’s value has resulted in over $360 million in long liquidations, while the market’s overall wrecked positions total over $800 million, according to CoinGlass.
