BTC Futures on CME Drop After Trump Shuts Door on China Trade Agreement

Bitcoin Futures Slide as Trump Nixes China Deal, Market Sentiment Sours

Bitcoin futures on the CME opened sharply lower Monday as investor sentiment took another hit following U.S. President Donald Trump’s hardline comments on trade relations with China. The move reflects growing concern among institutional traders as global markets continue to unravel.

The April CME Bitcoin futures contract opened at $79,590, down 5.6% from Friday’s close of $84,250, before falling further to $76,800, per CoinDesk data. The sharp drop came amid broader market turbulence, with Dow futures down 900 points and Asian equities in freefall. Trading halts were triggered in Japan, and Chinese shares plunged in response to escalating trade tensions.

Speaking aboard Air Force One, Trump reiterated that he has no intention of negotiating with China until the trade deficit is addressed. “Unless we solve that problem, I’m not going to make a deal,” he said. “I don’t want anything to go down, but sometimes you have to take medicine to fix something.”

His remarks follow last week’s announcement of sweeping tariffs targeting 180 countries, including a significant increase on Chinese imports. The fallout has been swift, with economists and major financial institutions now raising the risk of a U.S. recession.

Institutional Activity Retreats

Open interest on CME’s Bitcoin futures has nearly halved from its December peak of 281.57K BTC, now sitting at 140.5K — the lowest since August 2024. That decline suggests reduced institutional appetite for crypto exposure amid mounting macro uncertainty.

By contrast, futures and perpetual futures on other platforms have seen open interest rise, climbing from 400K BTC to 520K BTC over the past month. That uptick points to increased short positioning — a sign that traders expect further downside.

With sentiment shaken and volatility rising, all eyes are now on how the crypto market weathers the week ahead — and whether Trump’s economic “medicine” will bring healing or more hurt.