In the context of President Donald Trump's administration implementing bold policies on trade, immigration, fiscal policy, and regulation, the Federal Reserve (FED) is pausing interest rate adjustment decisions to monitor the impact of these policies.


FED Chairman Jerome Powell asserts that they do not need to rush in adjusting monetary policy, which makes the financial market, especially the cryptocurrency market, more sensitive to economic developments in the U.S.


So how will this impact the crypto market?



1. USDX Index Decrease – Crypto to Benefit?


One of the most important signals in recent times is the weakening of the USD. According to data from the exchange #FXCE , the USDX index (USD strength index) has decreased from 110.14 to 103.6.


📉 Why is the USDX decreasing?



  • The FED keeps interest rates unchanged instead of continuing to tighten monetary policy.


  • Concerns about the impact from the new policies of the Trump administration.

  • The trend of capital shifting to other assets due to predictions that the USD may depreciate in the medium term.



🔥 How does this affect crypto?

✅ Bitcoin and altcoins may benefit: When the USD weakens, investors tend to look for alternative assets such as gold and crypto to preserve value.

✅ Capital may return to the crypto market, as unchanged interest rates mean lower borrowing costs, helping to increase liquidity for riskier assets.

✅ Stablecoins may fluctuate, especially USD-pegged stablecoins like #USDT and $USDC . When the USD weakens, the exchange rate of stablecoins may slightly fluctuate compared to other currencies.



2. Trump's Policies – Impact on Crypto


The Trump administration is making strong moves in four key areas:


📌 Trade: If the U.S. imposes higher tariffs on imported goods, this could put pressure on the global economy and cause investment funds to seek crypto as a safe haven.


📌 Immigration: Strict immigration policies may reduce the flow of talent into the U.S., affecting blockchain companies in Silicon Valley and promoting the development of crypto in other countries.


📌 Fiscal policy: If Trump increases government spending, it could lead to inflation, forcing the FED to act. Again, high inflation could drive capital into Bitcoin, similar to previous periods.


📌 Regulation: Trump has previously had an unfriendly stance towards crypto; however, if the new policies pave the way for legalization or facilitate the market, crypto could make a leap.



3. FED Waits – Crypto Market Full of Uncertainty?


The FED's pause in interest rate adjustments means the market is entering a wait-and-see phase.


🔹 If Trump's policies generate economic growth, the FED may continue to keep interest rates unchanged or cut them, which will support Bitcoin and riskier assets.


🔹 Conversely, if the new policies create instability, the FED may be forced to raise interest rates again, which could lead to a wave of crypto sell-offs.


With uncertainty from the FED and the Trump administration, volatility in the crypto market will increase in the near future. Investors need to closely monitor the USDX index, decisions from the White House, and actions from the FED to have a reasonable strategy. 🚀 #anhbacong