Crypto Prices Dip As China Escalates Trade War With US, Whales Buy The Dip

After a strong start to the week, crypto prices are in the red as China retaliates against US President Donald Trump’s trade tirade. 

Chinese Commerce Ministry spokespersons have warned that the country is prepared for a “fight to the end” if a trade war with the United States escalates. On the same day, the MOFCOM announced countermeasures against five US-linked firms in response to Washington’s latest tariff actions.

The Ministry also defended China’s export controls on rare earth elements as lawful, stating that such measures are in line with international practices. Officials urged the United States to “correct its wrongdoings” and withdraw the newly imposed 100% tariffs. 

US equity futures and crypto prices saw a sharp sell-off, with the Bitcoin price momentarily falling below $110,000. However, prices have recovered partially after the White House confirmed that a Trump-Xi meeting has been confirmed on the sidelines of the APEC summit in South Korea. 

Whales and institutions continue to buy the dip in Bitcoin, Ethereum, Pepe and low-cap assets like Bitcoin Hyper and Maxi Doge. 

What’s Next In The US-China Trade War?

The US and China are back to tussling over trade at the expense of the global financial markets. 

Last week, US President Donald Trump rebuked China over its plan to place export controls on rare earth minerals and imposed an additional 100% tariff on Chinese imports. The new measure resulted in a drawdown in US stocks and the largest liquidation event in the crypto market. 

Now, China is finally hitting back, defending its export controls, vowing to fight to end and announcing countermeasures against US-linked firms. 

While a Trump-Xi meeting is now scheduled for later this month, the US Trade Representative Jamieson Greer reveals that the November 1 tariffs are still on track. 

Whales and Institutions Are Buying The Dip In Crypto Prices

Smart money investors continue to place their faith in the TACO principle: Trump Always Chickens Out. 

Indeed, US stocks are already in the green as investors are viewing this month’s meeting between Trump and Xi as another indication that the trade war won’t create any long-term impact on risk assets. 

Whales and institutions are buying the dip. Just today, Onchain Lens flagged a $55 million Bitcoin buy from a newly created wallet. Similarly, Lookonchain flagged a $108 million Ethereum buy from a wallet likely linked to BitMine, the largest ETH treasury firm. 

Similarly, 4 whales have also purchased Falcon Finance (FF), a mid-cap crypto that has shown strong bullish strength since last week’s market crash. 

Ethereum meme coin Pepe is also in high demand among deep-pocketed investors and could be poised for a bullish reversal. 

Low-Cap Memes Also in High Demand, Bitcoin Hyper and Maxi Doge Tipped as the Next 10x Crypto

Whales are also stacking low-cap gems ahead of the next bull market rally.

The new Dogecoin alternative, Maxi Doge (MAXI), has recorded two massive buys from the same whale: $314k and $313k, respectively. 

MAXI has already raised over $3.6 million in presale funding, thanks to such strong demand. 

Investors are impressed with its light-hearted sarcasm of the crypto degen lifestyle, as well as sound fundamentals like staking rewards, decentralized tokenomics, and secure smart contracts. 

Considering its low market cap, early buyers are eyeing up to 10x returns from it. 

Bitcoin Hyper (HYPER) is also in high demand, having already raised nearly $24 million in its ICO. 

HYPER is another favourite of the whales, with the buys as big as $500k, $310k and $275k recorded recently. Five-figure investments are nearly daily occurrences. 

Bitcoin Hyper is the latest BTC layer-2 coin, powered by the Solana Virtual Machine, zero-knowledge architecture and rollups.

It aims to tackle the high transaction costs and long finality time, as well as the poor scalability of Bitcoin. Experts believe it could even emerge as a hub of new DeFi apps that are looking to capture the BTC ecosystem. 

The top layer-2 coins tend to reach multibillion-dollar valuations. Unsurprisingly, analysts are viewing HYPER as one of the best altcoins to buy today.