{"id":50492,"date":"2025-04-10T12:24:20","date_gmt":"2025-04-10T12:24:20","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/bitcoin-at-81552-faces-risk-of-bull-trap-as-us-china-tensions-escalate\/"},"modified":"2025-04-10T12:24:20","modified_gmt":"2025-04-10T12:24:20","slug":"bitcoin-at-81552-faces-risk-of-bull-trap-as-us-china-tensions-escalate","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/bitcoin-at-81552-faces-risk-of-bull-trap-as-us-china-tensions-escalate\/","title":{"rendered":"Bitcoin at $81,552 faces risk of bull trap as US-China tensions escalate"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison )<\/b><br \/>\n<\/p>\n<ul>\n<li>QCP Capital warns of a bull trap if China retaliates.<\/li>\n<li>Market makers are said to be selling into the rally ahead of May and June.<\/li>\n<li>USD\/CNY hits 7.35, triggering capital outflows from China.<\/li>\n<\/ul>\n<p>Bitcoin (BTC) surged past $82,000 earlier this week, but the rally&rsquo;s stability remains in question.<\/p>\n<p>At the time of writing, BTC is trading at $81,473.<\/p>\n<p data-start=\"236\" data-end=\"811\"><\/p>\n<p data-start=\"236\" data-end=\"811\">Source: <a href=\"https:\/\/coinmarketcap.com\/currencies\/bitcoin\/\">CoinMarketCap<\/a><\/p>\n<p class=\"\" data-start=\"236\" data-end=\"811\">Despite a broader rise across global stock and crypto markets, analysts are now warning that Bitcoin could be walking into a classic bull trap as the US-China trade war takes another turn.<\/p>\n<p class=\"\" data-start=\"236\" data-end=\"811\">Market participants, buoyed by news of tariff pauses for several nations, are bracing for a potential counterstrike from Beijing after President Trump kept restrictions in place for China.<\/p>\n<p class=\"\" data-start=\"236\" data-end=\"811\">If retaliation materialises, Bitcoin&rsquo;s upward trend could reverse sharply, fuelled by macro uncertainty.<\/p>\n<h2 class=\"\" data-start=\"813\" data-end=\"845\">QCP flags May-June correction<\/h2>\n<p class=\"\" data-start=\"847\" data-end=\"1237\">Bitcoin and altcoins rallied alongside equities following a decision by President Trump to roll back some tariffs, but with China excluded from the relief, markets are anticipating aggressive countermeasures from Beijing.<\/p>\n<p class=\"\" data-start=\"1239\" data-end=\"1568\">QCP noted that the short-term rally has led to a decrease in crypto volatility, especially on the short end.<\/p>\n<p class=\"\" data-start=\"1239\" data-end=\"1568\">However, the firm&rsquo;s internal trading desk continues to see &ldquo;topside selling in May and June,&rdquo; suggesting that many market makers are using the current rally as an exit strategy rather than a long-term vote of confidence.<\/p>\n<p class=\"\" data-start=\"1570\" data-end=\"2037\">This view is supported by historical market reactions.<\/p>\n<p class=\"\" data-start=\"1570\" data-end=\"2037\">Earlier in the week, a rumour of a broader tariff pause had already created sharp whipsaw movements in stocks and crypto, as the lack of official confirmation caused investor sentiment to shift rapidly.<\/p>\n<p class=\"\" data-start=\"1570\" data-end=\"2037\">QCP pointed out that &ldquo;exuberant rallies&rdquo; under such uncertain conditions can easily transform into bull traps&mdash;situations where prices rise quickly, only to drop sharply, trapping investors in losing positions.<\/p>\n<h2 class=\"\" data-start=\"2039\" data-end=\"2069\">Yuan slide fuels BTC demand<\/h2>\n<p class=\"\" data-start=\"2071\" data-end=\"2374\">While warnings of a bull trap loom, others see a different side of the coin.<\/p>\n<p class=\"\" data-start=\"2071\" data-end=\"2374\">The Chinese yuan (CNY) has fallen to an 18-year low against the US dollar, with the USD\/CNY pair reaching 7.35.<\/p>\n<p class=\"\" data-start=\"2071\" data-end=\"2374\">This devaluation could become a catalyst for further capital flight from China, according to some market watchers.<\/p>\n<p class=\"\" data-start=\"2376\" data-end=\"2777\">Sina, co-founder of 21st Capital, pointed out on X (formerly Twitter) that &ldquo;when the yuan weakens, capital doesn&rsquo;t stay put.&rdquo; Historically, such moves have led to an outflow of funds into gold, foreign assets, and increasingly, into Bitcoin.<\/p>\n<p class=\"\" data-start=\"2376\" data-end=\"2777\">For Chinese investors looking to shield their capital from both currency devaluation and trade policy unpredictability, BTC offers a decentralised alternative.<\/p>\n<p class=\"\" data-start=\"2779\" data-end=\"3068\">This dynamic positions Bitcoin not just as a hedge, but as an escape valve in a time of mounting financial pressure.<\/p>\n<p class=\"\" data-start=\"2779\" data-end=\"3068\">The idea that BTC is becoming a &ldquo;necessity&rdquo; in unstable environments is gaining traction, especially in markets facing tight capital controls and weakening fiat currencies.<\/p>\n<h2 class=\"\" data-start=\"3070\" data-end=\"3102\">BTC stability still uncertain<\/h2>\n<p class=\"\" data-start=\"3104\" data-end=\"3428\">While capital outflows from China may boost short-term demand for BTC, analysts are not yet convinced that Bitcoin has hit a long-term bottom.<\/p>\n<p class=\"\" data-start=\"3104\" data-end=\"3428\">Price targets for a meaningful and sustained rebound continue to focus on the $70,000 range, which many technical indicators have flagged as a critical support and resistance level.<\/p>\n<p class=\"\" data-start=\"3430\" data-end=\"3748\">The $81,552 price point represents a notable high, but there&rsquo;s increasing scepticism about whether the current momentum can be sustained without more favourable macroeconomic signals.<\/p>\n<p class=\"\" data-start=\"3430\" data-end=\"3748\">Trade dynamics, currency moves, and interest rate policy will all continue to play a role in Bitcoin&rsquo;s trajectory in the coming weeks.<\/p>\n<p class=\"\" data-start=\"3750\" data-end=\"4113\">With global macroeconomic uncertainty colliding with rising investor interest in alternative stores of value, Bitcoin is navigating a highly volatile phase.<\/p>\n<p class=\"\" data-start=\"3750\" data-end=\"4113\">While the digital asset may benefit from yuan-driven outflows and tariff fears, any escalation in trade tensions, particularly if China responds aggressively&mdash;could turn current gains into short-lived spikes.<\/p>\n<p>The post <a href=\"https:\/\/coinjournal.net\/news\/bitcoin-at-81552-faces-risk-of-bull-trap-as-us-china-tensions-escalate\/\">Bitcoin at $81,552 faces risk of bull trap as US-China tensions escalate<\/a> appeared first on <a href=\"https:\/\/coinjournal.net\">CoinJournal<\/a>.<\/p>\n<p><a href=\"https:\/\/coinjournal.net\/news\/bitcoin-at-81552-faces-risk-of-bull-trap-as-us-china-tensions-escalate\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison ) QCP Capital warns of a bull trap if China retaliates. Market makers are said to be selling into the rally ahead of May and June. USD\/CNY hits 7.35, triggering capital outflows from China. Bitcoin (BTC) surged past $82,000 earlier this week, [&hellip;]<\/p>\n","protected":false},"author":3947362361,"featured_media":50493,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/50492"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362361"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=50492"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/50492\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/50493"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=50492"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=50492"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=50492"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}