The trading war crushed the crypto: 1 cryptocurrency that could still win

Prices Cripto collapsed as the war president Donald Trump was expanded. Across the Cropto Prices are all over the year and many show a little recovery sign soon.

Against the descaling background, investors range from risky funds to less risky assets, and they make any cryptocurstiness of the light candidate to fall from the portfolio. But there is one cryptocurrency that could still win and it is Bitcoin (Btc 0.18%).

Bitcoin as digital gold

During the last 30 days, Bitcoin is 14%, primarily due to the revival of a digital gold digital digital investment thesis. In the eyes of many investors, Bitcoin begins to behave just like physical gold and it is extremely valuable. During the time of economic and geopolitical insecurity, Bitcoin could be a potential value of value.

Although there is still skepticism about this digital gold, there is an increasing evidence that Bitcoin would keep even better than gold during moments of superior economic and geopolitical insecurity.

Last September, Balkrock He issued a 10-page report, called “Bitcoin as a unique diversifier,” who examined six different external shocks to the world economy between 2020 and 2024, including a saved pandemic and Russian invasion on Ukraine.

In five of six cases, Bitcoin was better than gold over a long time. And in half of the case, Bitcoin made better than gold both The short term and long-term. So it gives me a lot of confidence that Bitcoin can still be a winner, even if the shopping war further escalates further. While investors come into consideration with the consequences of tariffs, it will probably be converted into Bitcoin as a value store. It could explain why Bitcoin began to be RAH during the last 30 days.

Institutional adoption

The second main factor is an increase in the institutional adoption of bitcoin during the last 18 months, thanks primarily to launch Spot Bitcoin Trade Funds (ETFS) Last year. They now retreated to more than $ 100 billion from investors looking for an easy way to exit Bitcoin.

These, these Bitcoin ETFS, started trading in January 2024. years, they were the most successful new product from Wall Street in decades. And attract all types of investors. First were Hedge funds. Then there was a big bank in Wall Street Street. And then the first wave of large institutional investors came, such as pension funds. The following can be a great sovereign wealth funds.

At the same time, the second form of institutional adoption comes from the US government. Trump is a campaign to the pro-crupto platform and has already taken several steps to advance Bitcoin in the United States is the creation of the Bitcoin Strategic Reserve in March, which officially determines Bitcoin as a national strategic tool.

Bitcoin as a new spare currency?

The current uncertainty around the tariff has a lot of smart people on Wall Street that talks about potential collapse of American dollars as a spare currency of the world. The dollar now trades three-year pots, American actors are abruptly reduced and long-term cash registers are on the rise. Combined, this starts painting the image for investors out of the property that brought the dollar.

Image source: Getty Images.

Fancy term for that is “de-dollarization”, and refers to the world where the US dollar eventually loses the status of a backup currency. With that in mind, one currency that is now spoken as a potential replacement for the US dollar is Bitcoin. It is globally, it is non-sovereign and not related to specific economic wealth of any country.

However, this scenario is probably a long way, but suggests a long-term stay of bitcoin and its growing significance to the global financial system. She also suggests that, even in the worst case of global economy, Bitcoin can still be a winner.

Bitcoin as a portfolio diversification tool

As Blackrock pointed out last year in his report, Bitcoin has a very unique risk of risk rewarding. In a way acts as an “risk of” means. In other ways, it acts as a means of “risk”.

Currently, given all economic uncertainty, I am less focused on “risk of” risk of “and more directed at the properties of” risk “. The trade war may have crashed crypto, but it will not be able to crush Bitcoin.