Welcome back to The Breakdown with me, NLW.

It's a daily podcast on macro, Bitcoin, and the big-picture power shifts remaking our world.

What's going on, guys? It is Monday, October 27th, and today we're talking about Bitcoin spiking on news of a potential China deal. Before we get into that, however, if you are enjoying the breakdown, please go subscribe to it, give it a rating, give it a review, or if you want to dive deeper into the conversation, come join us on the Breakers Discord. You can find a link in the show notes or go to bit.ly slash breakdown pod. Well, friends,

crypto markets came alive on Sunday as China risk was seemingly taken off the table. Throughout the month,

a series of headline bombs have disrupted the bull run in Bitcoin. First, Beijing announced

new global export controls on rare earth metals, which posed a threat to supply chains for electric

motors and defense tech. President Trump fired back with threats of 100% tariffs that coincided

with the crypto flash crash that sent several all coins to actual zero. After a weekend of negotiations

in Malaysia, it seems that cooler heads are beginning to prevail and the largest threats have been

withdrawn. Treasury Secretary Scott Besson told CNBC that the two sides had reached a, quote, very the largest threats have been withdrawn. Treasury Secretary Scott

Besson told CNBC that the two sides had reached a, quote, very substantial framework on major

topics, including export controls, fentanyl, and shipping levies. He said that the 100% tariffs are,

quote, effectively off the table, and China has agreed to substantial soybean purchases,

as well as deferring export controls on rare earths.

Besson commented, so I would expect the threat of the 100% has gone away, as has the

threat of the immediate imposition of the Chinese initiating a worldwide export control regime.

He said that Beijing would delay their rare earth restrictions for a year while they re-examine

it. Chinese trade envoy Li Chengang, who Besson had called unhinged earlier in the month, also came away from the meeting with a positive message. He called the talks frank and constructive, adding, the current turbulences and twists and turns are ones that we do not wish to see. Trump seemed in good spirits as he spoke to reporters on the ground in Malaysia, predicting a good deal with China. He added, they want to make a deal

and we want to make a deal. A meeting between Trump and President Xi is expected to take

place on Thursday to finalize the deal. Those betting that nothing ever happens were vindicated

as the market took off on Sunday. Bitcoin was up 3.3 percent and alt staged a huge risk on

rally. S&P futures gaped higher when markets opened on

...