Thawing US-China Trade War Tensions Not ‘Hurting Bitcoin’
President Donald Trump stunned the world Saturday with the announcement of a ceasefire in the U.S. China trade war. After a high stakes face-to-face meeting with Chinese President Xi Jinping, Trump told reporters that he would be holding off on the threat of more tariffs on $300 billion in Chinese imports. Though the bitcoin price has risen dramatically with global macro uncertainty looming heavy over the geopolitical backdrop, the price slipped approximately 3% on Saturday to just below $12,000.
Tom Lee Says Bitcoin Is Doing OK
Fundstrat Co-Founder Thomas Lee tweeted that “bitcoin seems to be OK with developments” and that the “easing of tensions with US and China and even the surprise of easing restrictions on Huawei does not seem to be hurting bitcoin.”
Easing of tensions with US and China and even the surprise of easing restrictions on @huawei does not seem to be hurting #bitcoin $BTC
After pullback from $14k to $10k (which TA @rsluymer expected and was textbook Fibo), Bitcoin seems to be OK with developments. pic.twitter.com/dI7V8qbRCY
— Thomas Lee (@fundstrat) June 29, 2019
The bitcoin price continued to chart along a textbook 38% Fibonacci retracement following the trade war update Saturday. The retracement made up around $1,100 of Wednesday and Thursday’s $3115 pullback from bitcoin’s ecstatic June accumulation.
So far on Saturday, bitcoin is holding steady at that key support level, with $12,000 per bitcoin looking like it may shape up to be a psychological level of resistance.
Trump Gives Greenlight on Huawei
In addition to holding off on more tariffs, Donald Trump made a surprising announcement about Huawei in Osaka. The president said the U.S. will be lifting the embargo on U.S. suppliers to sell their parts to Chinese consumer electronics giant Huawei Technologies.
