Bitcoin sinks past $104,000 while broader crypto market retreats amid rising U.S.-China tariff conflicts.

Bitcoin Slides Under $104K Amid Renewed U.S.-China Tariff Tensions, Crypto Market Falters

Cryptocurrency markets declined sharply on Friday as fresh concerns over U.S.-China trade relations rattled investors.

Bitcoin (BTC) dropped 2.1% over 24 hours, trading just above $104,000 after touching a low near $103,900. The broader crypto market, tracked by the CoinDesk 20 index, fell even more steeply by 4.2%.

Smart contract blockchains bore the brunt of the losses, with Solana (SOL) down 6.3%, Sui (SUI) falling 7.8%, and Avalanche (AVAX) sliding 7.3%.

Crypto equities also experienced significant pressure. Bitdeer (BTDR), a bitcoin mining stock that had soared 132% since mid-April, lost 8.3%. MicroStrategy (MSTR) and Coinbase (COIN) declined 2.7% and 1.3%, respectively.

The sell-off extended beyond crypto as U.S. equity benchmarks also retreated: the S&P 500 shed 1%, Nasdaq fell 1.5%, and gold dropped 0.7%, signaling broad market nervousness.

Renewed Trade Disputes Shake Markets

The market downturn came amid escalating trade tensions after President Donald Trump accused China on social media of breaching the tariff truce agreed earlier this month.

Meanwhile, U.S. Treasury Secretary Scott Bessent revealed in a Fox News interview that negotiations with Chinese officials had stalled.

China pushed back, urging the U.S. to “correct its erroneous actions” and end discriminatory trade restrictions, according to BBC reports.

The prior easing of U.S.-China tensions had supported risk appetite, fueling Bitcoin’s rally to record levels. This latest flare-up threatens to dampen investor sentiment and stall further gains.