This week is probably not going to be peaceful. The international trade situation is stirring up again, and the shockwaves on the crypto market could be bigger than you imagine.

Everyone has seen what has happened recently—the tariff turmoil is reigniting. The threat of a 10% tariff on Europe has been brought to the table, and if the issue isn't resolved within five months, an additional 25% could be imposed. European officials' attitudes have also shifted, hinting that trade agreements may need to be renegotiated or even overturned. The counterattack after Europe resumes work on Monday might be quite tough, although the US stock market didn't open that day, Tuesday will be the real test.

Thinking about the global situation, it’s quite complex. The Russia-Ukraine conflict has been a hot potato, and now new geopolitical risks have emerged. These major power games indeed increase market uncertainty. Against this backdrop, asset prices across various sectors are generally at historic highs, with downward correction pressures continuously building. The Federal Reserve has also changed its stance—interest rate cuts will stop by the end of January, while other countries have already paused, and Japan is even raising rates.

The environment is changing, but asset prices are still hovering at high levels. This mismatch will eventually need an outlet. Bitcoin, as a risk asset, is certainly not immune. It may seem calm on the surface, but a collapse can happen in an instant. Now is the time to stay alert. Crypto market volatility is often more intense, so prepare your mindset and manage risks accordingly.