Crow's perspective on Trump's tax increase and its impact on the cryptocurrency world!
1. High possibility of a trade war
Trump said he wants to impose a 50% tariff on EU goods, and this guy is serious—he had a trade war with China in 2018. The EU is not to be underestimated either, immediately threatening to impose tariffs on American motorcycles and whiskey.
Combined, there is over $500 billion in business each year; if a war breaks out, the global economy will tremble.
Key impacts:
German car manufacturers are in tears: BMW and Mercedes account for nearly 1/4 of the EU's exports to the US, and tariffs will directly hit them.
American supermarkets will raise prices: Prices of European red wine and cheese will double, hurting the pockets of ordinary people.
2. Where will the money go?
Buying safe assets: The dollar will become more valuable, and gold might rise to $2500/ounce.
Bitcoin might benefit: During the trade war in 2018, Bitcoin fell and then surged 3 times, and this time it might replicate the script.
Europeans buying crypto as a hedge: If the euro crashes, wealthy Europeans might hoard Bitcoin as a hedge.
3. What will happen to the crypto market?
Opportunities:
Demand for stablecoins skyrockets: USDT and USDC might become the "underground channel" for cross-border trade, leading to greater trading volumes.
Emergence of blockchain foreign trade platforms: Using smart contracts for multinational business, solving trust issues (like writing contracts in ETH).
Risks:
US regulation going crazy: They might take the opportunity to crack down on privacy coins, claiming they threaten national security.
Leveraged players facing liquidation: If US stocks crash, high-leverage contracts in the crypto market (like 20x long) might collectively go to zero.
4. What should ordinary people do?
Short-term: Keep some US dollar stablecoins (USDT/USDC) on hand, don't put all your funds into altcoins.
Long-term:
Bitcoin might become "digital gold"; the fiercer the trade war, the more valuable it becomes.
Pay attention to cross-border payment cryptocurrencies (XRP, XLM).
Beware: If large European companies sell off assets, it could crash the market.
Summary in one sentence:
Trump's tariff stick might give the global economy a cold fever, but it may not necessarily be a bad thing for the crypto world—last time during the trade war, Bitcoin first fell 70% and then rose 300%. This time the script might be:
Tariffs implemented → Stock market crash → Bitcoin initially follows the decline → Funds flow into safe havens → New bull market begins.
(Cool fact: During the peak of the 2018 trade war, those who secretly bought Bitcoin later made a fortune.)
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