However, if the macroeconomy doesn't grow, investors' cautious attitude will limit capital inflows into the crypto market as well. In a more optimistic scenario, if the stock market doesn't grow, capital could divert and flow into crypto if BTC demonstrates its value in protecting assets with strong price increases, or at least doesn't fall too deeply.
So investors that are getting flogged in the market by Trump's decision will rush to a sector that Trump wants to control and make it all Made In The USA.
How are other countries that are going in an economic war against the US feel about their money pumping up US's crypto reserve?
It kind of stops making sense, doesn't it?
As you mentioned, this is a war with no winners, but I believe the United States will be the biggest loser because all countries will impose similar tariffs on American imports, resulting in a recession.
If we enter a recession with this inflation, rates and economic trade war we are f****.
Businesses are throwing plans made in advance for 5 years in the garbage bin and rushing to find options right now, many have stocked up on products in advance and now after avoiding expensive puhcases for their materials, they are faced with no sellers for their finished products.
People in e-commerce are having sleepless nights, check such forums and you will see only pessimism as some have actually now way to go from here.
We had a good run for a few years, time to buckle up!