Yes, although it is believed that economic news has a greater impact, this quarrel has added uncertainty and increased volatility. The conflict continues, and the market is still fluctuating.
What happened?
Elon Musk sharply criticized Trump's new bill, calling it 'disgusting' and accusing it of increasing the budget deficit by $2.4 trillion. In response, Trump threatened to strip Musk's companies of federal contracts, which could cost Tesla and SpaceX $1.2 billion in 2025. Musk, in turn, hinted at Trump's connections to Jeffrey Epstein and called for the president's impeachment.
Of course, this is just the tip of the iceberg, but what a bright tip it is)) let's see how it all ends. I remind you that it was Musk who practically single-handedly brought Trump to a second term, pouring a huge amount of money into that project.
How did this affect cryptocurrencies?
The political instability between the two influential figures has caused a wave of sell-offs in the crypto market:
• Bitcoin fell below $101,000.
• Ethereum lost 6% of its value.
• $TRUMP (meme coin associated with Trump) dropped by 12%.
Investors are concerned about potential regulatory consequences and a general deterioration of sentiment in the market.
The conflict between Musk and Trump has caused a rift among tech leaders. Previously, many supported both, but now they are forced to take sides. This could also have consequences for both regular stocks and crypto.
So what’s the outcome? Nothing much. We take advantage of the volatility and trade. These gentlemen are very inconsistent, and their next statements could bring us either a complete split or application. Apparently, we need to accept the specifics of Trump and his presidency; he will be with us for a few more years.
So, who are you for, Musk or Trump? 😉