Crypto Markets on Edge: Trump's Tariff Pause Offers Little Comfort

Despite a brief sigh of relief from Trump's tariff pause, the crypto world is still holding its breath, with traders tiptoeing around risk assets like they're walking on eggshells.

The crypto scene is stuck between a rock and a hard place, juggling cautious hope with a nagging sense of uncertainty. Sure, the tariff pause threw us a lifeline, but traders are still playing it cool, not ready to dive headfirst into the deep end of risk. That's the word from the sharp minds over at Bitfinex. Bitcoin? It's stuck in limbo, trading sideways, while ETF flows are as quiet as a church mouse.

Listen up, Bitfinex analysts are calling it like it is: Trump's 90-day tariff breather? It's just a band-aid, not a cure. It's a short-term fix that doesn't touch the root of the trade uncertainty monster. No wonder investors are giving the side-eye to riskier plays like Bitcoin. The vibe is all about playing it safe.

"Trump's tariff pause? More like a pause in a game of hot potato. The threat's still looming, and until it's gone, don't expect anyone to go all in on risk," the Bitfinex crew tells it straight.

And get this, Bitcoin ETF flows? They're more disappointing than a rained-out barbecue. As of April 10, we've seen six days straight of negative flows, with a whopping $149 million walking out the door daily. The biggest exodus hit on April 8, with $326 million bailing on Bitcoin ETFs.

Bitcoin Could Play Second Fiddle to Stocks: Bitfinex Analysts

In this wild ride of a market, Bitfinex is betting that crypto's going to take a backseat to stocks until something big shakes things up. We're talking about a softer stance from the U.S. Federal Reserve or a fresh flood of cash into the crypto space.

"Bitcoin might catch a break if the macro pressure eases up a bit, but don't hold your breath. The market's waiting for a clear sign—like a change in the Fed's tune or better liquidity—before jumping back into crypto with both feet. Until then, crypto might just be playing catch-up to stocks," Bitfinex lays it out.

There's a glimmer of hope, though. Trump's been leaning on Fed Chair Jerome Powell to cut those interest rates, but with inflation fears creeping up, the Fed's likely to stick to its guns unless there's a shakeup at the top. And hey, with a recent Supreme Court ruling letting Trump temporarily boot officials from independent agencies, some are whispering that Powell could be on the chopping block next.

(BTC)