Crypto Markets Remain Stable Amid Trump’s Tariff Turmoil, According to NYDIG Analyst
Cryptocurrencies have demonstrated strength amidst increased volatility in conventional financial markets instigated by US President Donald Trump’s shifting tariff strategy, as noted in a recent report by the New York Digital Investment Group (NYDIG).
Greg Cipolaro, the global head of research at NYDIG, stated in a note dated April 11, 2025 that cryptocurrency markets have stayed “relatively orderly” despite the turmoil in stock markets.
“Typically, during widespread risk-off phases, we observe pressure in crypto asset markets. We have not yet witnessed that,” Cipolaro commented.
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BTC Displays Resilience Following Initial Jolt from Trump’s Tariff Declaration
Although BTC (Bitcoin) faced price swings after Trump’s sweeping tariff announcement on April 2, the overall impact seems contained. Liquidations in perpetual futures surged to $480 million on April 6 and 7 — notable, yet mild compared to previous liquidation events.
Cipolaro mentioned that the price of Tether (USDT), the most widely utilized stablecoin in the trading market, has remained close to $1 and has avoided significant de-pegging.
Trump’s tariff policy, which previously suggested taxes on all U.S. trading partners, was suspended mere hours after it took effect on April 9. A base tariff of 10% is now enforced globally, while duties on China could reach up to 145%.
However, ongoing back-and-forth from the administration — including contradictory remarks about electronics exemptions — has led to persistent crypto market uncertainty.
The tariffs have transformed into a trigger for crypto.
When Trump’s extensive tariff measures unsettled global markets, BTC initially dipped to $74K.
But then something intriguing occurred—it rebounded.
So did Ethereum and SOL.
The reason behind this was a change in perception.We’re observing crypto re…
— Chris l MC² (@piffie) April 9, 2025
In spite of the uncertainty, Cipolaro remarked that BTC has outperformed many traditional assets. “At present prices, [Bitcoin] has done far better than numerous other asset types,” he wrote, pointing out that its price swings has not escalated as significantly compared to equity markets.
He proposed that investors might increasingly be looking towards decentralized assets as alternative stores of value, which are less vulnerable to geopolitical disruptions.
BTC is currently trading at about $84,730, down 22.5% from its mid-January peak of over $108,000, as per CoinGecko.
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Declining BTC Volatility May Enhance Institutional Interest, According to NYDIG Analyst
Cipolaro also noted that the reducing disparity between Bitcoin’s market fluctuation and that of other assets could render it more appealing to institutional investors, particularly those overseeing risk parity portfolios.
“Funds shifting towards BTC may be helping to lessen its market fluctuation — fostering a cycle of acceptance and heightened stability,” he suggested.
Nevertheless, not all experts share this optimistic view. Ruslan Lienkha, chief of markets at YouHodler, warned in a note from April 12 about a possible “death cross” — where the 50-day moving average dips below the 200-day — for both BTC and the S&P 500.
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Key Takeaways
- BTC has maintained a relatively stable position even with price swings in traditional markets stemming from Trump’s tariff policy.
- Interest from institutional investors in BTC may increase as its market fluctuation decreases in comparison to other assets.
- Certain analysts caution about a potential bearish trend, referencing technical indicators such as a possible “death cross.”
The post Crypto Markets Remain Stable Despite Trump’s Tariff Whiplash, As Per NYDIG Analyst appeared first on 99Bitcoins.
