Bitcoin (BTC) is facing a critical weekend as high-level trade talks between the US and China unfold in Switzerland. These consultations are clouded by mistrust, duel stories and zero compromises on tariffs.
For crypto markets that have already withstand macro headwinds and are thinning liquidity, the outcome or failure of these talks could lead to sharp price fluctuations towards Monday.
US-China Trade will talk about Bitcoin signal volatility this weekend
Due to the low trading volume characteristic of the weekend, Bitcoin could witness significant volatility between May 10th and 11th. The US Treasury Secretary recently presented plans to meet with Swiss Chinese Vice Prime Minister for Two Days.
The meeting marks the first official trade talks as President Trump escalated tariffs on China’s imports to 145%. The outcome or breakdown of what happens can exacerbate weekend volatility.
“Thanks to Potus, the world has come to the US and China is a missing piece. We will meet on Saturday and Sunday to discuss common interests. The current tariffs and trade barriers are unsustainable, but we don’t want them to.
On Thursday, the Chinese Embassy in Washington issued a dull statement before the meeting. The spokesman directly contradicts our claims about who launched the discussion in the statement.
“The consultations are being held at the request of the US… China will never accept a situation in which the US says one thing but does another,” read the excerpt from the statement.
China’s Foreign Ministry has reflected the message and issued a follow-up message through spokesman Lin Jiang.
“Pressure or force China to simply not function. We will firmly protect legitimate interests and protect international fairness and justice,” Jian writes.
Rhetoric suggests that Beijing is deeply skeptical of our intentions. This is especially true after Washington reaffirms that it will not reduce tariffs before consultations begin.
Neither side has offered any concrete concessions prior to the meeting. Based on this, crypto traders fear that the summit could end in another diplomatic stalemate.
Bitcoin, heading towards $100,000, is especially exposed as it remains connected to global risk sentiment.
Bitcoin (BTC) price performance. Source: Beincrypto
Escalation tips can act as volatility catalysts. Conversely, even the symbolic thawing of relationships can cause relief gatherings.
The broader macro background has also shifted. As reported by Beincrypto, China cut interest rates and increased liquidity injections earlier this week. It is in a broader push to offset the domestic economic slowdown.
These exciting efforts have a bullish effect on risk assets, but geopolitical friction can drown out the signal.
For crypto traders, the concern is whether China’s monetary easing can outweigh the resistance of an unresolved trade war.
In promoting further speculation, US President Donald Trump teased the announcement of a “very important trade agreement” on Friday. He said it includes “a large, highly respected country.” He didn’t name China, but it’s impossible to ignore the timing.
“A massive press conference tomorrow at 10am in the oval office on a major trade agreement with representatives of a large and highly respected country.
With market participants pricing on weekend volatility, Bitcoin could once again serve as a live barometer of geopolitical risk.
If the Swiss Conference advances its modest roadmap, Crypto can benefit from the trust of new investors. However, if discussions collapse under the stiffness of mistrust and tariffs, there could be a wave of liquidation and a rush to safe assets.
Bitcoin isn’t just about trading with charts this weekend. Trades against the global balance of power.
