Since the US trade war initiated by President Trump's administration, the crypto market has faced significant changes. Bitcoin's fear and greed index indicates rising concerns. Additionally, the US Postal Service's temporary suspension of parcel acceptance from China affects the industry.
Trade Wars and the Crypto Market
The Trump administration's trade wars have sparked concerns in the market. Bitcoin's fear and greed index dropped from over 70% to around 50%, indicating increased worry about future capitulations. This suggests a potential decline in Bitcoin's value and the entire crypto market.
Temporary Parcel Suspension from China
The US Postal Service announced a temporary suspension of international package acceptance from China and Hong Kong, effective February 4, 2025, as part of efforts to combat drug trafficking. However, the flow of letters and flats will continue.
Impact on the Crypto Market
These developments will affect major e-commerce giants like Shein and Temu. The significant shift in trade conditions between the US and China may impact the adoption of digital assets, which are widely used in trade, and payment systems like PayPal, Visa, and others.
The ongoing trade war and measures to curb parcel deliveries from China create significant pressure on the crypto market and e-commerce sector. These changes require careful monitoring and could affect a broader range of international trade operations.
