Trump Evaluates Trade Tariffs; Hassett Focuses on Onshoring Strategy

Industry responses have been mixed, with potential implications for both traditional and digital markets. While no direct statements from crypto leaders have emerged, the situation is being closely monitored for its impact on Bitcoin and Ethereum, with their valuation reacting to macroeconomic stresses.

Past tariffs imposed by Trump led to significant risk-off sentiment in global markets, positioning Bitcoin and Ethereum as macro-safe havens due to their decentralized nature.

Tariffs and Cryptocurrencies: Navigating Economic Waves

Donald Trump is actively reviewing trade agreements and is prepared to implement tariffs if the proposals are inadequate. Kevin Hassett emphasizes the strategic goal of onshoring production in the U.S. to address national security risks associated with a substantial trade deficit, saying, “The bottom line is that what we’re doing absolutely, collectively across every country is we’re onshoring production in the U.S. to reduce the national emergency, that is, that we have a massive trade deficit that’s putting us at risk should we need production in the U.S. because of a national security crisis.”

The potential implementation of tariffs signifies a change in trade dynamics with at least 130 countries involved in negotiations. This could lead to shifts in supply chains and influence global markets.

Industry responses have been mixed, with potential implications for both traditional and digital markets. While no direct statements from crypto leaders have emerged, the situation is being closely monitored for its impact on Bitcoin and Ethereum, with their valuation reacting to macroeconomic stresses.

Cryptocurrencies as Safe Havens Amid Market Volatility

Did you know? Past tariffs imposed by Trump led to significant risk-off sentiment in global markets, positioning Bitcoin and Ethereum as macro-safe havens due to their decentralized nature.

Data from CoinMarketCap reveals Bitcoin’s current price at $118,726.08 with a market cap of $2.36 trillion and market dominance at 63.62%. Its trading volume decreased by 17.86%, while price changes over 90 days stand at a 41.13% increase.

Citing patterns from previous tariffs, the Coincu research team highlights the potential for increased cryptocurrency inflows given such macroeconomic tensions. This dynamic may further fuel Bitcoin’s perception as a hedge against geopolitical instability.