Renewed U.S.-China Tensions and Whale Activity Shake Markets
The crypto market tumbled over the weekend, led by sharp declines in altcoins. Dogecoin (DOGE) fell over 8%, while Pepe (PEPE) plunged 12%, triggering widespread concern among traders and investors. The pullback coincided with renewed U.S.-China tariff tensions, Bitcoin whale sell-offs, and a broader market risk-off sentiment.
Bitcoin Slips, Altcoins Bleed
Bitcoin (BTC) dropped more than 2%, trading just above $103,600 on Saturday afternoon in Asia. The CoinDesk 20 Index, which tracks major digital assets, declined by 4.2% over the past 24 hours.
“This weekend’s losses show how fragile sentiment remains,” said analysts.
Top altcoins mirrored the downturn:
- Ether (ETH) dropped nearly 4%
- XRP, BNB, ADA, and SOL fell between 2–5%
- CRO (Cronos) was the only top-100 gainer, rising 12% without a clear catalyst
Trade War Fears Resurface
Market analysts say the sell-off was triggered by renewed geopolitical concerns. U.S. political figures, including former President Donald Trump, accused China of breaching recent trade agreements, while Treasury Secretary Scott Bessent acknowledged that talks with Beijing had “stalled.”
“Markets went red on Friday on renewed tariff-related apprehensions,” said Alex Kuptsikevich, Chief Market Analyst at FxPro.
As macroeconomic tensions rise, crypto appears increasingly correlated with broader risk sentiment.
Whale Profit-Taking Signals Market Shift
Data from Deribit reveals that Bitcoin futures open interest has surged 51% since April, while options volume has increased by 126%, indicating growing caution among derivatives traders.
Meanwhile, whale wallets—large holders of Bitcoin—have shifted from accumulation to net selling, often interpreted as a sign of profit-taking and risk-off sentiment.
“Bitcoin’s local support looks solid around $103K,” Kuptsikevich added, though he warned that volatility may increase if geopolitical tensions escalate.
Conclusion: More Volatility Ahead
With escalating trade war fears, rising futures activity, and whale distribution, the market may remain under pressure in the coming days. Traders are advised to brace for continued price swings and monitor macroeconomic headlines closely.
Dogecoin and Pepe may have led the drop, but the entire crypto market is on edge.