US-China Trade War Talks Spark Crypto Market Buzz Amid Tariff Concession Hopes

The crypto market is showing strong activity after news of possible progress in US-China trade talks. Market participants have reacted to President Donald Trump’s statement suggesting tariff reductions on Chinese goods. This development has increased investor attention on digital assets, especially Bitcoin and select altcoins.

Tariff Concession Talks Boost Sentiment

President Trump announced during a press address at the White House that current tariffs on Chinese imports, which reached as high as 145%, may be lowered. He added that while the US would not remove all duties, there would be substantial reductions.

In response, Chinese officials expressed willingness to resume trade talks. The remarks raised market hopes that both countries could resolve their long-standing trade dispute. According to political analyst Jostein Hauge, China may have an upper hand in the negotiations. “China exports mostly high-tech products, while the US sends low-tech goods like fuels,” he said.

Bitcoin Price Surges as the Crypto Market Reacts

Following the statements, the cryptocurrency market posted strong gains. Bitcoin price reached a new all-time high of $94,220 on April 23. The rise is linked to increasing demand and large ETF inflows. According to Farside Investors, spot Bitcoin ETFs recorded $921 million in daily inflows, the highest since launch.

The broader crypto market also benefited. According to CoinMarketCap data, the total crypto market capitalization crossed $3 trillion. Altcoins, including Solana (SOL), Cardano (ADA), and XRP, also recorded price gains. Traders see the tariff truce as a key trigger for short-term bullish momentum.

The TRUMP token was one of the top gainers, rising by 70% to $14.56. The rally followed the announcement of a private dinner for its top holders. The move drew fresh interest from both retail and whale investors.

$TRUMP going vertical on news The President will host a dinner with the top 220 holders of his meme coin. pic.twitter.com/EapN73C2NZ

— K A L E O (@CryptoKaleo) April 23, 2025

Inflation, Interest Rates, and Policy Response

Market participants are also evaluating the possible economic effects of reduced tariffs. A drop in import duties may lower the prices of goods in the US. The reduction of prices would decrease inflationary pressures that influence Federal Reserve policy decisions.

President Trump has maintained his public requests for reduced interest rates on multiple occasions. As inflation rates show signs of decrease, the Federal Reserve might modify its present monetary policy. The increased gradualness of interest rate hikes will improve investment pool liquidity, simultaneously strengthening risk assets including cryptocurrencies.

Multiple industries can be swayed by these negotiations, according to financial authorities. Investors remain focused on both governments as they release new developments for the removal of ambiguity. The confirmation of a trade agreement would support the continuation of current market patterns in cryptocurrencies.

Traders Monitor Crypto and Trade Developments

The news about the tariff concession talks and their possible outcome is now a focus for market watchers. Crypto traders look into macroeconomic indicators along with blockchain-based information. The accumulation of whales, combined with institutional funding activity, continues to increase in both the Bitcoin and Ethereum networks.

Reaction to the TRUMP token shows no sign of slowing down as does the popularity of Dogecoin and SHIB memecoin projects. The prices of these tokens present significant fluctuations because market news along with overall public perception tend to trigger their movements. The strengthening interest in the US-China political dealings might steer market trends during upcoming days.