QCP: U.S. stocks and the crypto market rebound in the short term, but escalating Sino-U.S. trade tensions could become a "bull trap"

In its latest market brief, QCP Capital pointed out that U.S. stocks and the crypto market rebounded sharply after Trump announced a "temporary suspension of additional tariffs, imposing 10% reciprocal tariffs on all countries except China". The NASDAQ rose by 12.02%, the S&P 500 increased by 9.51%, BTC went up by 8.43%, ETH surged by 13.38%, triggering $75 million in short positions to be liquidated within an hour in the crypto market.
However, QCP warned that this policy shift towards "Make America Wealthy Again" seems more like a temporary easing, and the "China exception" policy has instead escalated the US-China trade war again, putting continuous pressure on Chinese assets. The RMB exchange rate has fallen to an 18-year low, and the market is waiting for whether Beijing will retaliate strongly; if China escalates retaliation, the current rebound may turn into a "bull trap".
Furthermore, QCP noted that despite short-term sentiment warming up, markets remain cautious about upward volatility in May and June with sellers continuing to reduce their holdings during rebounds. At the same time, some investors are betting on BTC returning to $100k at year-end with active buying interest seen in December options contracts. Tonight's upcoming release of U.S CPI data will become next focus point for markets; if data comes below expectations it could alleviate inflation concerns triggered by tariffs.