Artificial Intelligence War between Trump and China: Is Bitcoin in Danger? QCP Explains - Coin Bulletin

According to the report published by QCP, Trump's first week in office did not go well for Bitcoin (BTC) and other risky assets.

BTC, falling below $100,000 again, it is stated that China's new artificial intelligence initiative Deepseek is behind this decline in the markets. Deepseek, threatening the leadership of the United States in artificial intelligence with open source technology and cost efficiency, may have negative effects on US stock markets.

How the Trump administration will react to these developments is a critical question for the market. Trump, who previously successfully used the tariff card in trade wars, could take what measures to protect the US markets this time? Although the Trump administration is considering projects such as national digital asset reserve, such steps do not currently create significant optimism in the market. According to QCP, it is unlikely for the price to break upwards unless Bitcoin is approved as a strategic reserve asset.

QCP also noted that after China's Deepseek technology threatens US markets, Trump could present himself as a "savior" and make tough moves. However, for now, the market is anxiously watching how the Trump administration will respond to this new artificial intelligence threat.

In the short term, a rise after March is expected for Bitcoin. Risk reversal rates (risk reversals) still support Call options since March, which indicates that the market does not expect a significant movement until the end of the quarter. However, this week the market is uncertain ahead of the FOMC meeting on January 30th. QCP expects BTC to continue trading in a familiar price range in light of these developments.