According to QCPgroup, the crypto market turned sharply risk-off after the US expanded technology sanctions against China and doubled steel tariffs to 50%. These developments triggered the liquidation of nearly $1 billion in crypto positions, signifying heightened volatility and risk aversion among traders (source: QCPgroup Twitter, June 2, 2025). Additionally, BlackRock's IBIT Bitcoin ETF recorded $430 million in outflows, ending its 34-day inflow streak, which signals a notable shift in institutional sentiment towards Bitcoin and broader crypto assets. Such large-scale outflows and liquidations highlight the potential for further price pressure and increased volatility, making risk management a top priority for crypto traders.

According to StockMKTNewz, Bloomberg reports that the United States is preparing broader technology sanctions against China, focusing on restricting Chinese subsidiaries to prevent circumvention of existing controls. This move targets advanced semiconductor and AI technology companies, which could intensify supply chain disruptions and further constrain Chinese access to critical chips and AI hardware. For cryptocurrency traders, these heightened sanctions may lead to increased market volatility as Chinese tech stocks and related crypto tokens react to the news, especially those with exposure to AI and hardware sectors. The announcement could also boost interest in decentralized technologies and digital assets as alternative investment vehicles amid escalating US-China tech tensions. (Source: Bloomberg, StockMKTNewz)