Trade War Erasing $ 1T in Cripto, Bitcoin works like a risky

The escalation trading war also hit Bitcoin and supplies, because traders review the risks and converted into gold.

Cripto Market Cap lost three trillion dollars due to the fears of the US Trade War, because the merchant was selling Bitcoin (BTC) and turned gold (gold). According to the latest Binance reportEscalidant American tariffs are shired fears in the crypto and the stock market.

It is applicable that the Donald Trump administration announced 10% of the lift tariff, in force 5. April, in all countries. Several jurisdictions will see even higher rates, including 34% tariff on China, 20% of the EU and 24% tariff tariffs.

Certain industries will also face specific imposition, especially the auto sector, which is subject to additional 25% duties. As a result, the average American tariffs rose to 18.8%, the highest level of Smoot-Hawlei Tariff ACT 1930.

Since February 2025. year, Cripto Market Cap fell 25.9%, or $ 1 trillion. Specifically, Bitcoin was reduced by 19.1%, and Etherum 40%. Memecoins and AI Tokens deteriorated, falling more than 50% in total.

Bitcoin has acted more like risks, less as a living fence

Bitcoin’s negative performance has increased its correlation with S & P 500. This figure rose from -0.32 to 0.47, which suggests that Bitcoin is behaving more like a risky funding from the hedge.

In contrast, gold confirmed its role as a safe haven from market risk and inflation. Asst is 10.3% since February, while its correlation with Bitcoin fell to -0.22. This difference occurred despite the expectations of inflation that increased to an annual rate of 3-5%.

A growing negative correlation undermines the name of bitcoin as “digital gold” and a Anti-inflation life. As a result, institutions can be less inclined to add Bitcoin to their portfolios as a defensive advantage.