April 2, declared 'Liberation Day' by Donald Trump, brings worries to the markets. New tariffs revive old fears.
How Trade Tariffs Affect Markets
As the deadline for implementing Trump's new tariffs approaches, investors are cautious. Financial markets show turbulence. Since announcing the first tax hikes in January, bitcoin's price has dropped by 18%. The American stock market is also rocky: the dollar's start to the year is its worst since 2008, while gold shows its best quarter since 1986. This signals a clear shift towards safe assets.
The 'Liberation Day' Project and Its Potential Consequences
Behind the 'Liberation' slogan lies a massive tariff plan. Trump plans to tax several key sectors: automotive, copper, pharmaceuticals, timber. The goal is to relocate production and pressure foreign partners. However, consumers might bear the brunt. As Lloyd Doggett tweeted: 'On April 2, Trump will mainly release dollars from your wallet.'
How Investors React to Uncertainty
In the face of uncertainty, seasoned investors act methodically, avoiding reckless bets and making precise adjustments. In traditional markets, flows are moving towards gold, while in cryptocurrency, significant changes are noted: bitcoin whales continue to accumulate, hinting at a possible future rebound. Experienced investors anticipate stabilization post-tariff, while some expect sharper corrections.
Despite the economic strain, investors hope for a cryptocurrency revival. The cycle continues, and technology still has the potential to surprise.
