Trump's latest policy โ additional tariffs + massive tax cuts โ could potentially be a double-edged sword for global markets and crypto.
๐ Impact on Traditional & Global Markets:
1. Positive for the US economy (in the short term):
โ Tax cuts = boost in domestic spending & investment.
โ Could strengthen the USD, US-based stocks, and internal consumption.
2. Negative for global trade:
โ New tariffs could trigger retaliatory trade wars, disrupting global supply chains.
โ Trading partner countries may retaliate, weakening global trade flows.
3. Increased inflation & volatility risks:
โ Tariffs could raise the costs of imported goods โ inflationary pressure.
โ Global investors might start fleeing to hedge assets, such as gold or... crypto.
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๐ฐ Impact on the Crypto Market: โ Bullish macro outlook for assets like $BTC, $ETH, and other major coins:
Global uncertainty โ investors seeking alternative assets.
Crypto is often seen as a hedge against loose monetary policy & fiscal uncertainty.
โ ๏ธ But be cautious:
Global volatility could cause short-term outflows as investors reduce risk.
If the USD becomes too strong due to tax cuts, it could put temporary pressure on crypto prices.
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๐ Conclusion Hook: Trump's policies could be a rocket for the US economy, but also lightning for global markets.
๐ In an increasingly protectionist world, decentralized assets like crypto could become a new safe haven.
๐ฌ What are your thoughts? Is this bullish or bearish for crypto going forward?