Bitcoin

The proposal to break decades of diplomatic protocol over Taiwan, combined with a massive $14B arms sale, signals a potential escalation in US-China tensions. For crypto, this amplifies the macro headwind of a fearful market where liquidity is thin and altcoins are underperforming BTC. Historically, such geopolitical shocks lead to short-term capital flight from risky assets, though crypto's correlation with equities remains high.

Former US President Trump proposes talks with Taiwan's leader, while the US considers a $14 billion arms sale to Taiwan.