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Question #117

How have US China trade tensions and geopolitical events impacted Bitcoin price volatility?

Category: General
Tensions led to a steady Bitcoin rally above $130,000
Tensions triggered rapid sell-offs and a $19 billion liquidation event in mid-October
Trade disputes had no impact and Bitcoin stayed flat in October

Why is this the correct answer?

This is correct because escalating U.S.-China trade disputes and geopolitical events shook confidence in risk assets. As a result, traders rushed to sell, driving one of the largest liquidation cascades in crypto history that wiped out over $19 billion in value. For beginners, this shows how external political issues can quickly influence market sentiment and cause volatile price movements.

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