The Cryptocurrency market can be carried out for recovery as the Donald Trump’s tariffs are stabilized according to the US President’s tariff announcement. Some analysts call it the peak of recent market uncertainty.
Trump announced his mutual import tariffs on April 2, trembling in the global market. According to Reuters, the S & P 500 lost more than $ 5 trillion, and the biggest record was that it surpassed the epidemic in March 2020.
Nevertheless, some analysts see silver lining in tariffs.
Michaël Van de Poppe, the founder of Mn Consultancy, said, “In my opinion, tariffs represent the uncertainty of the market.” The day of liberation is basically the peak of the era and uncertainty. It is now open. Everyone knows a new stadium. “
Van de Poppe added that Trump is using tariffs as a strategic movement to stimulate domestic growth and reduce yields. “Target is literally the only way to do so,” he said. “If you reverse in the next six to 12 months, you won’t be surprised.”
Average tariff rate for US products and imports. Source: JPMORGAN, AYESHA TARIQ
President Trump’s plan will impose a 10%standard tariff on all US imports from April 5 and increase up to 54%of “mutual tariffs” in some countries with a greater trade shortage from April 9.
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Import tariffs can cause Fed relief
Nevertheless, the end of uncertainty can lead to a new investment in the encryption market, which can lead to recovery, Van de Poppe said.
“We are more calm and peaceful in the market where we start watching the rotation to the encryption market during the coming period, and that investors begin to buy dip and understand that some are evaluated.”
He pointed out that due to the economic impact of tariffs, the US Federal Reserve Bank could begin a new quantitative easing (QE), a monetary policy related to the Fedding Bonds to lower interest rates and inject liquidity into the economy.
Arthur Hayes, co -founder of Bitmex and the chief investor of MAELSTROM, predicts that Bitcoin can go to $ 250,000 when the Fed formally enters the QE cycle.
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Trump tariff uncertainty is still weighed on emotions.
According to Noelle Acheson, the author of Crypto, customs -related uncertainty can continue to press risky asset appetite for several weeks.
Acheson told Cointelegraph, “We’ll be able to change his mind several times at the first week of the first week, and she added:
“As uncertainty increases in this market, some short -term fries can bring some slogans, but you can expect more dangerous -off behavior.”
“In the case of encryption, the BTC continues to act in the short term, while the analog relatives come through one height in the short term, which has been developed to affect the emotions of encryption investors in the short term.
Meanwhile, Nansen, an encryption information company, estimates the 70%chance of the market by June, depending on how the tariff negotiations develop.
https://www.youtube.com/watch?v=sumyysrjvzm
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