Trump threatens to impose tariffs on Japan! Major news from US negotiations - Technical Analysis of Bitcoin, Ethereum, and Ripple.

Gate news, today (1) in the Asian early session, Bitcoin maintains strength above 107,000 USD. U.S. President Trump threatens to impose tariffs on Japan, the EU will accept Trump's 10% universal tariff but seeks key exemptions. The dollar has fallen sharply, and market participants remain cautious ahead of Federal Reserve Chair Powell's speech at the European Central Bank forum in Portugal, while also following trade developments and the possibility of further easing by the Federal Reserve.

According to Bloomberg, Trump threatened to impose new tariffs on Japan, while his chief economic advisor stated that the White House plans to reach an agreement with partners after the July 4 holiday.

Trump took the latest round of marginal policies against Japan on Monday, with just over a week left until the July 9 deadline for re-imposing tariffs on dozens of trading partners, including Japan. He stated that this was due to Japan's unwillingness to accept U.S. rice exports.

Trump posted on social media saying: "They don't accept our rice, but they are facing a serious rice shortage. In other words, we just sent them a letter, and we are pleased that for many years to come, they will be able to be our trading partners."

For weeks, Trump has been trying to influence his negotiating partners before the deadline, vowing to terminate brief negotiations with partners he considers difficult to deal with, and instead sending them letters setting tariff rates.

Trump suspended tariffs on various countries in April to allow time for negotiations. Since then, he and his team have repeatedly promised that a series of agreements could be reached in a few weeks. However, to date, the only two agreements announced are broad framework agreements reached with China and the United Kingdom.

At the same time, Kevin Hassett, the director of the White House National Economic Council, hinted on Monday that an agreement reached with multiple governments would be announced after the United States Independence Day. He stated that the government's focus is to ensure that Congress passes the massive tax and spending bill proposed by Trump before Independence Day.

Hassett said on Fox Business News on Monday: "People might take a couple of hours off on Independence Day to watch fireworks, and then we'll come back and start announcing the framework. We expect to meet with the President to explain the framework that has been negotiated and see if he approves it." Hassett stated that despite Trump's latest threats, negotiations between the United States and Japan are still expected to continue.

"Nothing is over. I know what he just sent out, but there will be discussions until the end," he told reporters.

Trump's threat to interrupt negotiations with other countries sometimes leads trade partners to make concessions on policies that anger him, thereby restarting negotiations. The president stated on Friday that he would terminate all trade negotiations with Canada in retaliation for its imposition of a digital services tax. However, after Ottawa withdrew the tax, Hassett told reporters on Monday, "We have made tremendous progress in our negotiations with Canada."

Japan is one of the most important trading partners of the United States, and officials in the Trump administration described it as a type of economy willing to reach agreements rather than impose tariffs.

U.S. Secretary of Commerce Howard Lutnick stated last week that the U.S. government will finalize a series of trade agreements with about 10 "largest" U.S. partners, while other partners will receive letters setting tariff levels.

In months of ongoing negotiations, U.S. and Japanese officials have yet to resolve the thorny issues surrounding tariff levels and trade barriers. Japan has been urging Trump to eliminate the 25% tariff on automobiles, stating that these tariffs are severely impacting a key industry. However, the U.S. President rejected this request, claiming that the number of American cars imported from Japan is not significant. All Japanese products exported to the U.S. face a separate tariff of 24%, which has been reduced to 10% during the negotiations.

In Europe, the EU is willing to accept a trade agreement with the United States, including a general tariff of 10% on many export products from the EU, but hopes the U.S. will commit to lowering tariffs on key industries such as pharmaceuticals, alcohol, semiconductors, and commercial aircraft.

Informed sources revealed that the EU is still pressuring the United States to grant quotas and exemptions to effectively reduce Washington's 25% tariffs on cars and automotive parts, as well as the 50% tariffs on steel and aluminum.

A person who requested to remain anonymous stated that the European Commission, responsible for EU trade matters, believes that this arrangement slightly favors the United States but can still be agreed upon. The EU must reach a trade agreement with Donald Trump by July 9, or almost all tariffs on EU exports to the US will rise to 50%. The US President has imposed tariffs on almost all trade partners, expressing his desire to restore domestic manufacturing, cover the costs of tax deferral, and prevent other countries from taking advantage of the United States.

The US Dollar Index falls to a multi-year low while Bitcoin maintains the 107,000 threshold

The US Dollar Index (DXY) continued its previous sluggish trend and fell to a multi-year low below 97.00.

Bitcoin failed to break through the historical high of $111,980, but that did not stop investors from buying in further. Data from CoinShares shows that the inflow of funds into Bitcoin exchange-traded products reached $2.2 billion last week.

In addition to stable ETF capital inflows, Bitcoin asset management companies are also continuing to buy. Michael Saylor's Strategy revealed that they purchased 4,980 Bitcoins at an average price of $106,801, marking their 11th consecutive week of buying Bitcoin.

Similarly, Metaplanet CEO Simon Gerovich stated in an article on the X platform that the company purchased 1,005 Bitcoins at an average price of $107,601.

Bitcoin Technical Analysis

CoinTelegraph pointed out that Bitcoin (BTC) is facing a sell-off at the descending trend line, but a positive signal is that the bulls have not allowed the price to fall below the moving average.

This indicates that bulls are not in a hurry to take profits, as they expect prices to rise again. The upward-sloping moving average and RSI are in the positive territory, suggesting that the path of least resistance is upwards.

If the price breaks through the downward trend line, the BTC/USDT pair may surge to the neckline of the head and shoulders pattern. This is a key level that bears must defend, as a breakout above this level indicates a restoration of the upward trend.

The first sign of weakness will be a fall below the moving average line. If this occurs, the currency pair will face the risk of falling to $104,500, and then to the support level of $100,000.

(Source: CoinTelegraph, Trading View)

Ethereum Technical Analysis

Ethereum (ETH) is facing a sell-off near the 50-day moving average ($2,534), indicating that bears are active at higher levels.

Both moving averages are flattening out, and the RSI is approaching the midpoint, indicating that there may be range fluctuations in the short term. If the price falls below $2,376, the ETH/USDT pair may drop to $2,323. Buyers are expected to firmly defend the $2,323 level, as a fall below this level could lead the pair to drop to $2,111.

On the positive side, breaking the 50-day moving average will open the door to an upward movement, targeting $2,738, and then $2,879. The next wave of trend may begin with a break above $2,879 or a fall below $2,111.

(Source: CoinTelegraph, Trading View)

Ripple Technical Analysis

Ripple (XRP) has been hovering in the range of $2 to $2.65 over the past few days, indicating buying near the support level and selling near the resistance level.

The bulls are trying to push the price above the 50-day moving average (2.25 USD). If it breaks through, the XRP/USDT pair may attempt to rebound to the upper range of 2.65 USD. The bears will strive to defend the level of 2.65 USD to keep the price within the range.

If the price falls back from the current level, it indicates that the bears are selling off every small rise. The bears will attempt to consolidate their positions by pulling the price below the support level of $2. If they succeed, the currency pair could fall to $1.61.

(Source: CoinTelegraph, Trading View)

View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)