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Trump Tariffs Bitcoin Revaluation Triggers Huge Market Shift

Trump Tariffs Bitcoin Revaluation Triggers Huge Market Shift
Trump Tariffs Bitcoin Revaluation Triggers Huge Market Shift

Key Points

  • Trump Tariffs Bitcoin Revaluation Triggers Huge Market Shift
  • Bitcoin positioned as safe haven amid $10 trillion equity wipeout
  • Analysts predict Bitcoinโ€™s major revaluation as liquidity returns
  • Bitcoin’s volatility now mirrors major equity indices3
  • Bitcoin could evolve into a true monetary hedge asset

Trumpโ€™s aggressive tariff policies have triggered chaos across global equity markets, wiping out over $10 trillion in value. But amid the storm, Bitcoin is quietly emerging as a surprising winner.

According to venture capital firm MV Global, the latest spike in tariffs has pushed global average rates to levels last seen during the Great Depression of the 1930s. As traders scramble for safety, they are turning to alternative assets. Bitcoin, known for its decentralized nature and resilience during economic shocks, is gaining strong traction.

MV Globalโ€™s Global Economy Index, which tracks liquidity conditions and capital flows, recently turned upward โ€” a signal that often precedes asset reflation periods. This suggests that both equities and Bitcoin could be approaching a major revaluation. Analysts argue that liquidity is “quietly rebuilding” across major economies, setting up Bitcoin for a breakout move.

Notably, Bitcoinโ€™s April historical average return is over 34.4%, a figure that far outpaces traditional markets during periods of instability. In this context, Bitcoin appears better positioned than ever to capture a meaningful portion of the fleeing liquidity.

You can see similar patterns in past movements, such as when Bitcoinโ€™s price surged after Trump calmed Fed drama, signaling how sensitive the crypto markets are to US political decisions.

Average tariff rates on US imports. Source: MV Global on X - Techtoken

Average tariff rates on US imports. Source: MV Global on X – Techtoken

Tomas Greif, chief of product strategy at Braiins Mining Ecosystem, highlights how Bitcoinโ€™s current volatility now mirrors major equity indexes. He points out, “If you previously thought Bitcoin was too volatile, you may want to re-evaluate your passive investment strategies for retirement.”

Bitcoinโ€™s Transformation From Speculation to Strategic Asset

Bitcoin is shedding its speculative image and increasingly becoming a strategic monetary asset. Mathew Sigel, head of digital assets research at VanEck, emphasizes that Bitcoin is transitioning into a functional hedge against dollar risks.

“Bitcoin is evolving from a speculative asset into a functional monetary tool,” Sigel notes. He points out that many economies are working to bypass US-dominated financial systems, a shift that boosts Bitcoinโ€™s attractiveness.

This sentiment is reinforced by recent moves in international finance, such as Russia exploring a Ruble-pegged stablecoin to reduce dollar reliance. Similarly, the US dollar itself is facing pressure as trade wars and internal monetary conflicts, like the Trump-Powell Bitcoin clash, continue to unfold.

Bitcoinโ€™s April seasonality. Source: Glassnode - Techtoken

Bitcoinโ€™s April seasonality. Source: Glassnode – Techtoken

As Bitcoinโ€™s resilience becomes more visible in chaotic times, its potential role as a decentralized reserve asset becomes more credible. In fact, the idea of Bitcoin outlasting traditional fiat currencies is gaining ground, echoing discussions from reports like Bitcoin Outlasting the US Dollar.

How Market Turmoil Is Fueling Broader Crypto Sector Growth

The impact of this market shake-up isn’t limited to Bitcoin alone. Other cryptocurrencies are also riding the volatility wave.

Bitcoin volatility vs. equity indices. Source: Greif on X - Techtoken

Bitcoin volatility vs. equity indices. Source: Greif on X – Techtoken

Privacy coins, such as Monero, have seen notable surges as investors seek anonymity in uncertain times. Meanwhile, projects tackling decentralized finance and artificial intelligence are also gaining traction. For example, as AI agents rise, they’re still facing significant roadblocks, as highlighted in AI Agent Adoption Faces 3 Shocking Bottlenecks in 2025.

At the institutional level, major meetings are shaping the future of blockchain adoption. Binanceโ€™s discussions around innovation and regulation, as discussed in WLFi and Binance Meeting, show that big players are still heavily invested in cryptoโ€™s next chapter.

As liquidity rotates out of traditional assets, the entire crypto sector could experience a broader uplift, positioning itself as a formidable alternative for global investors seeking refuge from growing geopolitical and financial risks.

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Abhijeet
Abhijeet is a Web3 and crypto writer who brings blockchain concepts to life with simple, engaging, and SEO-driven content. From DeFi and NFTs to emerging blockchain trends, he crafts stories that resonate with readers and build authority for Web3 brands.

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