Renewed U.S. tariffs have created risk-aversion across financial markets, with crypto assets experiencing correlated sell-offs despite their non-traditional status. Investors view tariffs as inflationary measures that could impact tech sectors and crypto adoption.
Bitcoin initially served as a partial hedge but succumbed to broader market pressures, while altcoins showed varied responses. BNB’s relative stability demonstrates how ecosystem-specific factors can outweigh macroeconomic trends.
Market analysts suggest sustained trade tensions could accelerate crypto’s role in cross-border settlements, particularly for sanctioned nations. However, short-term volatility likely persists until tariff policies clarify.