Why Bitcoin’s Big Break is Because of Tariffs (Yes, Really!)

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Well folks, buckle up! With global trade tensions on full blast and everyone’s favorite buzzword – “economic uncertainty” – swirling, guess who’s silently making all the right moves? You got it, Bitcoin! The world’s largest cryptocurrency is moonwalking its way above the chaos, like it’s a disco ball at a tax audit.

Bitcoin has shrugged off the downward trend of equities, shooting up to a six-week high of $89,000. It’s like that one guy at the party who’s just too cool to care about the drama. And guess what? It’s all happening amidst the *epic* tariff war between the United States and its trading buddies. Who knew tariffs could spark such a shindig?

How Tariffs Are Giving Bitcoin Its Superpowers

So, It’s like the underdog in a sports movie, always ready for a comeback.

Enter Kyle Chassé, the crypto superhero. He took to X (formerly Twitter) to explain Bitcoin’s sudden popularity. His big reveal: tariffs raise import costs, which skyrocket consumer prices, drain purchasing power, and make us all go “uh-oh” about fiat currencies. Bitcoin, with its fixed supply and “I don’t belong to any country” vibe, suddenly looks like the savior. Who needs traditional money when you can have digital gold?

“Tariffs are just inflation dressed up in a disguise,” Chassé says. “As tariffs rise, the USD’s popularity tanks. Investors look for a new friend – and Bitcoin’s the cool kid on the block.”

And it’s not just about the money, folks. Geopolitical drama is also playing a role. China’s ready to throw shade at anyone helping out the U.S., and Japan’s not all in on the tariff bandwagon either. Bitcoin’s appeal as a “borderless, non-sovereign asset” is getting more and more popular. Like a rockstar at a world tour!

“When markets shake like a leaf, BTC bounces back faster than a caffeinated kangaroo,” Chassé adds. Yep, you heard it here first.

And for Chassé, “smart money loves a good chaos,” and let’s face it, Bitcoin’s currently the rockstar headlining this chaos festival.

Bitcoin vs. Old School Markets: The Showdown

Now, hold onto your hats, because recent Bitcoin price action has been like watching a Netflix series with no boring filler episodes. It soared to $89,200 on Tuesday, which is an 18% jump from its low of $75,000 earlier this month. You might want to take a seat, because this rollercoaster’s just getting started.

In the past 24 hours, it climbed a humble 2%. But that didn’t stop Bitcoin from taking its market cap to a staggering $1.75 trillion, and its dominance? A solid 61.4% (according to CoinGecko). This isn’t a fluke; it’s a sign that Bitcoin is taking the spotlight and shining brighter than a diamond at a pawn shop.

Here’s where it gets interesting: gold hit an all-time high of nearly $3,500 per ounce. And while you might think gold is having its moment in the sun, Bitcoin’s been out here flexing its muscle. The price surge of both gold and Bitcoin signals a rush to “safe havens” – whatever those are. Meanwhile, the U.S. stock market is having a bad hair day, with the S&P 500 losing $2.5 trillion and the Nasdaq tanking 16% this year alone. Ouch.

In all that mess, Bitcoin only shed 10%. According to Bernstein’s Gautam Chhugani, this digital asset is quickly becoming the “Main Street proxy,” while traditional tech stocks are just… well, sort of napping on the sidelines.

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2025-04-22 16:40