US President Donald Trump announced on Friday a tariff of 100% on China, which sent the price (BTCAt this time, the reels are at or below $100,00.
Trump said The tariffs were a response to China’s attempt to restrict exports of rare earth minerals that are essential for the creation of computer chips. Trump said on Truth Social.
“It has just been learned that China has taken an extraordinarily aggressive position on Trade in sending an extremely hostile letter to the World, stating that they were going to, effective November 1, 2025, impose large-scale Export Controls on virtually every product they make.”
Trump’s first tariff announcements In April, the crypto market was rocked by a series of shockwaves that fueled fears about a possible recession.
Chip access and tariff pressure
The production of semiconductors is dependent on rare earth elements. China is threatening to restrict access to key materials. This could affect the supply of hardware for AI, crypto mining, and high-performance computing.
US sanctions against Chinese exports of tech and their investment form part of the overall US strategy to combat Chinese influence. broader push To reduce dependence on imports
Ether, as well as other cryptos, have been affected by the recent tariff announcement.ETHSolana (SOLBitcoin and cryptocurrencies are both down 14% at this time.
As of this moment, the global crypto market cap is $3.64 Trillion. It has decreased by 11.80% in just 24 hours.
Related: The 2025 US-China trade war
Ana Paula Pereira has contributed additional reporting. As this is an evolving story, we will add more information as soon as it becomes accessible.
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Source: cointelegraph.com
