Bitcoin falls below $80,000 as global trade dispute escalates

Bitcoin fell below $80,000 for the first time in about a month after news broke of China's retaliatory tariffs in response to the U.S. announcement of "reciprocal tariffs." As the global trade war escalates,
As uncertainty grew, investment sentiment appeared to have frozen. As of 10 a.m. on the 7th, the price of Bitcoin on CoinMarketCap was 78,298, down 6.78% from the same time the previous day.
Bitcoin, which was trading at around 83,000 dollars the previous day, crashed in the morning and temporarily dropped to the 77,000 dollar range.
This is the first time the price has fallen below $80,000 since the 14th of last month. The reason for the sudden drop in Bitcoin prices is that China has teased retaliatory tariffs against the reciprocal tariffs imposed by the United States on the rest of the world, raising concerns about a trade war.
This is because the price of Bitcoin, a risky asset, has fallen as economic uncertainty has grown. The previous day, China announced that it would impose a 34% tariff on all U.S. products from the 10th.
The move comes as a retaliatory measure against the United States' recent imposition of a 10% basic reciprocal tariff on trading partners around the world. Bitcoin prices fell 11.7% in the first quarter of this year, the lowest in 10 years.
This is the smallest quarterly price drop in history. Bill Erkman, a famous hedge fund investor, said on X that "the tariffs from the U.S. are destroying the market" and that "the tariff policy will trigger an economic war around the world."
"The US has lost credibility as a trading partner," he said. Bitcoin spot exchange-traded funds (ETFs) recorded net outflows for two consecutive trading days. On the 4th (local time),
A total of $64.9 million was withdrawn from the Bitcoin spot ETF.