Crypto News

The insecurity of the big picture takes the crypto-toll

Criptocurrencies had an incredible run in the last few months, but it reaches as many Altcoin this week is collapsing.

According to the data they provide S & P Global Market Intelligence, Solana (Salt 5.76%) 14.5% dropped in last week compared to 16.00.00 Chain (Link -2,66%) was reduced by 15.9%, Sui (Sui 0.36%) has dropped 14.9% and Cardano (Ada -3,14%) has been reduced by 17.4%.

Skittish Market hit Cripto

For croptos, the policy and execution of the US environment improves, but the market is viewed on the economy as potentially damaged wind 2025. years.

President Donald Trump said tariffs on imports from China, Canada, and Mexico could start next week and may still come to more. It could do products more expensive for consumers and slow economic activity, at least temporarily.

Then there are mass layoffs of government workers, which could also affect the short term of economic activity.

These are the types of changes that resulted in the trade department reporting from 0.2% in January despite increasing revenues of 0.9%. As is the case in other research, consumers withdraw consumption, especially in larger cases, because the colors of the impact of tariffs and other economic uncertainty.

What does it have to do with the cript

Criptocurrencies are inherently risky assets and trading and correlated and risky actions of growth. Thus, as investors lead to the issue of the future growth of the American economy, it makes sense to grow and crypt both the fall fell as investors to seek security.

The market also sees that they unwrapped some of the crypto speculation that has spread over the last few months.

Altcoins are usually more unstable than larger cryptograms, so they take the burden of losses. What is interesting is that there is a momentum on blocks like saltworks and a chain chain under construction of real utility services, as more efficient payment infrastructure and ownership of a digital asset.

But the value of these innovations cannot be collected token itself Stablecoins are used as a medium of exchange. If users do not pay for goods and services with common cryptocurrians and use stablecoins instead, it could mean less demand for conventional cryptures.

Cripto talks about procurement and demand

During the last period of economic uncertainty in 2022. years, the Market fell dramatically dramatically and it could be repeated if the economy slows down. What was in the last decline was that it didn’t even match the recession.

Each recession would be unprecedented for the current state of cryptocurries, which really entered public view after Covdid-19 drops early 2020. Years. We do not know whether the CRYPTO values ​​will fall because consumers and investors are looking for safer property in a recessional environment, which could come into the economy and elimination.

Bottom line: Uncertainty is here for cryptocurrency and that is not what investors are looking for. And with 2024. Since 2024. years, like ETF lists and choices behind us, customers look like they dried.

Travis Houm There are positions in Solana. Motley fool has positions and recommends Cardano, Chainlink, Solan and Sui. Motley fool has Disclosure policy.

https://g.foolcdn.com/editorial/images/809528/chart-going-up.jpg

2025-03-01 00:55:00

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