After a two-day marathon negotiation in Switzerland, the United States and China announced on Monday that they had reached an agreement to suspend most tariffs on each other's goods to facilitate further trade talks, with details exposed today.
US-China Tariff Mutual Cuts
The Wall Street Journal reported that the United States will reduce "reciprocal" tariffs on Chinese goods from previously up to 125% to 10%; simultaneously, China also agreed to reduce tariffs on US goods from 125% to 10%. However, the report also noted that the 20% tariffs on Chinese goods related to fentanyl issues and other specific measures previously imposed by the US will continue, which can be seen as both sides agreeing to mutually reduce current 145% tariffs to 30% for some core disputed goods.
Additionally, the US and China have declared that they will establish a mechanism and platform to continue discussions on economic and trade relations.
Has Bitcoin's Technical Aspect Entered an 'Upward Pattern'?
Stimulated by the macro-positive news of the significant cooling of the US-China tariff war, the market has shown a judgment of Bitcoin's continued upward movement. From a technical analysis perspective, a "price rally setup" has emerged, and Bitcoin's new wave of resistance and target price will likely be around $142,000, as the recent Bitcoin price may have broken through one or several key price levels that were difficult to overcome in the long term.
Moreover, the chart may have formed some classic technical patterns indicating a significant rise, with moving averages showing a strong bullish arrangement, and indicators like RSI continuing to run at high levels, demonstrating strong and sustained market upward momentum.
Lastly, Bitcoin's market structure may have clearly transformed from a previous downward trend or oscillating consolidation to an upward trend, manifested by continuously creating higher highs and higher lows.
Further Developments Still Need Attention
It must be emphasized again that the price target is based on macro-event-driven and technical pattern analysis, generating a potential market sentiment outlook. However, in reality, whether Bitcoin can reach this target still depends on the comprehensive influence of various factors, including continued macroeconomic improvement, market capital flow, and the actual evolution and confirmation of Bitcoin's own technical chart going forward.
