FinancialfocusHub.com
  • Home
  • Crude Oil
  • Cryptocurrency
  • Forex
  • Funds
  • Gold
  • Insurance
  • News
  • Stocks
No Result
View All Result
  • Home
  • Crude Oil
  • Cryptocurrency
  • Forex
  • Funds
  • Gold
  • Insurance
  • News
  • Stocks
No Result
View All Result
FinancialfocusHub.com
No Result
View All Result
ADVERTISEMENT

Trump’S Tariffs May Make Bitcoin An Inflation Hedge, Analyst Says

Alice by Alice
2025-04-21
in News
Trump’S Tariffs May Make Bitcoin An Inflation Hedge, Analyst Says
ADVERTISEMENT

Bitcoin, the world’s largest cryptocurrency, could serve as an inflation hedge if trade tensions sparked by President Donald Trump’s tariffs undermine the dollar’s ​​global dominance, Messari analysis says.

“We believe that (tariffs) could lead to a decoupling of Bitcoin from the U.S. stock market over time. It may be increasingly viewed less as an alternative to tech stocks or a risk-on trade, and more as a reliable inflation hedge and long-term store of value,” said Dylan Bane, corporate research analyst at cryptocurrency research firm Messari.

ADVERTISEMENT

While Messari expects Bitcoin to remain highly correlated with U.S. stocks in the near future, it predicts a significant shift in the long term.

ADVERTISEMENT

“Ongoing tariffs could catalyze structural economic changes that lead to Bitcoin’s decoupling from traditional assets as it gradually gains acceptance as an independent store of value,” Messari’s Baine said.

ADVERTISEMENT

Currently, investors view Bitcoin as closely correlated with the S&P 500, with correlations sometimes exceeding 70%. “Most investors do not view Bitcoin as a truly independent store of value,” Baine said, adding that tariffs could be a catalyst to weaken “the dollar’s ​​position as the world’s reserve currency.”

This view is increasingly shared by financial leaders. Last month, Larry Fink, CEO of the world’s largest asset manager BlackRock, said the dollar is in danger of being cannibalized by Bitcoin. “If the U.S. cannot control its debt and if the deficit continues to expand, the U.S. risks losing its reserve currency status to digital assets like Bitcoin,” Fink said.

The news comes amid growing concerns about inflation in the U.S. The chairman of the Federal Reserve said this week that ongoing trade tensions have created a “high degree of uncertainty.” On Thursday, Fed Chairman Jerome Powell angered Trump by emphasizing that Trump’s tariff measures could increase inflation and lead to a slowdown in the economy. Trump said on social media: “Powell’s firing came too late!”

Amid these developments, Bitcoin analysts see an opportunity for renewed interest in cryptocurrencies, especially as an alternative to centralized and traditional monetary systems.

“The resulting broader economic uncertainty and institutional distrust … could also spark greater interest in cryptocurrencies, whose financial infrastructure is not dependent on any single government or monetary authority,” Bain said.

Bitcoin currently trades at around $84,000, having breached an all-time high of $109,000 in January.

Related topics:
  • What Cash App Stocks Should I Buy?
  • When Should You Buy Stocks
  • How to Analyze Bank Stocks
ADVERTISEMENT
Previous Post

Cathie Wood’s Top Crypto Pick Before 1,686% Surge

Next Post

Slovenia Proposes 25% Tax On Cryptocurrency Profits

Alice

Alice

Related Posts

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces
News

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces

2025-05-14
RMB Strengthens as China-U.S. Trade Tensions Ease
News

RMB Strengthens as China-U.S. Trade Tensions Ease

2025-05-14
China Launches 2025 SME Financial Support Initiative
News

China Launches 2025 SME Financial Support Initiative

2025-05-14
Building a World-Class Treasury System: China’s Path to Financial Resource Integration
News

Building a World-Class Treasury System: China’s Path to Financial Resource Integration

2025-05-14
The Global Battle for Digital Currency Supremacy Reshapes Financial Order
News

The Global Battle for Digital Currency Supremacy Reshapes Financial Order

2025-05-14
U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis
News

U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis

2025-05-14
Finance’s Digital Transformation in the Era of AI
News

Finance’s Digital Transformation in the Era of AI

2025-05-14
Debt Wall, Consumer Strain, And a Fed ‘trapped by Politics’: Stephanie Pomboy Warns of Market Reckoning
News

Debt Wall, Consumer Strain, And a Fed ‘trapped by Politics’: Stephanie Pomboy Warns of Market Reckoning

2025-05-14
Gold Gains, The Dollar Weakens as Inflation Cools to a Four-Year Low
News

Gold Gains, The Dollar Weakens as Inflation Cools to a Four-Year Low

2025-05-14
Next Post
Slovenia Proposes 25% Tax On Cryptocurrency Profits

Slovenia Proposes 25% Tax On Cryptocurrency Profits

Trump’S Tariffs May Make Bitcoin An Inflation Hedge, Analyst Says

Trump’S Tariffs May Make Bitcoin An Inflation Hedge, Analyst Says

Insurance2

What Is Commercial Insurance?

Popular Articles

China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector
Insurance

China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector

by jingji06
2025-05-14

The China Insurance Association has officially unveiled the Elderly-Friendly Service Standards for Insurance Institutions marking a significant step toward improving...

Stocks7

How To Find Oversold Stocks: A Beginner’s Guide

2025-05-10
How Much Is Trintellix Without Insurance?

How Much Is Trintellix Without Insurance?

2025-05-09
Forex1

What Is A Prop Firm Forex: How Does It Work?

2025-05-12
This Is The Biden Campaign That Trump Still Supports

This Is The Biden Campaign That Trump Still Supports

2025-05-11
How To Read Forex Charts: A Beginner’s Guide

How To Read Forex Charts: A Beginner’s Guide

2025-05-12
Who Pays for My Health Insurance While on Workers’ Compensation

Who Pays for My Health Insurance While on Workers’ Compensation

2025-05-13
What Is The Average Drawdown Of A Stock? How Does It Work?

What Is The Average Drawdown Of A Stock? How Does It Work?

2025-05-12

Recent Posts

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces
News

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces

by jingji06
2025-05-14

As China accelerates its development of "new quality productive forces"—a growth model prioritizing technological breakthroughs and industrial modernization—financial inclusion has...

RMB Strengthens as China-U.S. Trade Tensions Ease

RMB Strengthens as China-U.S. Trade Tensions Ease

2025-05-14
China Launches 2025 SME Financial Support Initiative

China Launches 2025 SME Financial Support Initiative

2025-05-14
Building a World-Class Treasury System: China’s Path to Financial Resource Integration

Building a World-Class Treasury System: China’s Path to Financial Resource Integration

2025-05-14
China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector

China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector

2025-05-14
Hot Topic Focus | Serving 310 Million Seniors: China Releases Groundbreaking Insurance Service Standards

Hot Topic Focus | Serving 310 Million Seniors: China Releases Groundbreaking Insurance Service Standards

2025-05-14
The Global Battle for Digital Currency Supremacy Reshapes Financial Order

The Global Battle for Digital Currency Supremacy Reshapes Financial Order

2025-05-14
U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis

U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis

2025-05-14

Cryptocurrency

Cryptocurrency27

NFT Marketplace X2Y2 to Shut Down After Three Years as Trading Volume Plummets

2025-04-04
Cryptocurrency

Elon Musk Denies U.S. Government Plans to Use Dogecoin, Cryptocurrency Drops 3%

2025-04-01
Cryptocurrency

Gold Bull Peter Schiff Bets on Bullish Gold Amid Bitcoin’s Struggles

2025-03-30
Cryptocurrency

Fidelity Plans to Launch Spot Solana ETF

2025-03-29
Cryptocurrency

BlackRock Launches Bitcoin ETP in Europe: A Key Step for Institutional Adoption

2025-03-28
Cryptocurrency

Closing Bell Movers: GameStop Gains 7% on Earnings, Bitcoin Announcement

2025-03-27
FinancialfocusHub.com

FinancialFocusHub.com is your gateway to insightful financial guidance and strategies. Explore expert advice on investing, saving, and managing wealth. Stay informed with the latest trends and tools to empower your financial journey.

Recent Posts

  • China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces 2025-05-14
  • RMB Strengthens as China-U.S. Trade Tensions Ease 2025-05-14
  • China Launches 2025 SME Financial Support Initiative 2025-05-14
  • Building a World-Class Treasury System: China’s Path to Financial Resource Integration 2025-05-14
  • China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector 2025-05-14

TAGS

Useful Links

ABOUT US

Disclaimer

Privacy Policy

Copyright © 2024 financialfocushub.com

No Result
View All Result
  • Home
  • Forex
  • Insurance
  • News
  • Stocks

Copyright © 2024 FinancialFocusHub.com is your gateway to insightful financial guidance and strategies. Explore expert advice on investing, saving, and managing wealth. Stay informed with the latest trends and tools to empower your financial journey.