In the past few hours, the market has witnessed a strong sell-off despite any negative information from the cryptocurrency market. The main reason for this decline stems from the U.S. stock market, where most stocks are in the red following the latest statements from President Trump.

Initially, the market reacted positively to the news that TSMC committed to investing $100 billion in the U.S. with specific plans such as:

Building 5 new factories in Arizona

Creating thousands of job opportunities

Total investment in the U.S. reaching $165 billion

Stimulating hundreds of billions of dollars in economic activities

However, the optimistic atmosphere was quickly replaced by anxiety when Trump entered the question-and-answer segment and confirmed that the 25% tariffs on Canada and Mexico would take effect tomorrow, contrary to the market's expectations of a possible delay.

Shortly after, the White House further heightened tensions by announcing that it would raise tariffs on China to 20%, marking a significant increase in just 2 months — a much faster rate than during Trump's first term.

Not stopping there, the Atlanta branch of the Federal Reserve added to the pressure by lowering its GDP growth forecast for Q1 2025 from -1.5% to -2.8%, showing a strong decline compared to the +3.9% just 4 weeks ago.

Source: Source X @KobeissiLetter