Key Takeaways
- On April 2, U.S. President Donald Trump announced tariffs that were bigger and more far-reaching than expected. In response, the crypto market sold off heavily along with other risk assets.
- Bitcoin dominance rose to four-year highs of 64% amid this heightened market volatility.
- In terms of what happens next, expect to gain valuable insight from monitoring the language of Trump and key cabinet members, such as U.S. Treasury Secretary Scott Bessent.
- Similarly, it will be important to monitor the U.S. and China—the world’s two largest economies—for any indication of their willingness to negotiate. Given that both leaders adopt strong leadership styles, it may be a number of weeks or months before meaningful negotiation discussions start.
- Elsewhere, GameStop raised nearly $1.5 billion to invest in Bitcoin as a reserve asset. If it were to fully deploy this amount today, GameStop would be the world’s fourth-largest publicly traded corporate holder of Bitcoin.
Important upcoming macro dates:
- Apr. 10: U.S. CPI inflation data
- May 7: U.S. interest-rate decision and Fed Chair Powell’s press conference