When tariffs danced with Bitcoin and markets held their breath

When tariffs danced with Bitcoin and markets held their breath

I’ve been closely following the whirlwind of events shaping global markets on March 12, 2025. The past 24 hours have been a rollercoaster for investors, policymakers, and analysts alike, with shifting narratives around tariff measures, deteriorating global trade relations, and a bold new step into the cryptocurrency realm by the US government.

From President Trump’s tariff tango with Canada to the unveiling of a Crypto Strategic Reserve, there’s a lot to unpack. Here’s my take on what’s driving the global risk sentiment, how markets are reacting, and what this all might mean for the future—grounded in the data and developments at hand.

Let’s start with the tariff saga, which has been the headline-grabber of the day. Overnight, President Trump sent shockwaves through markets by threatening to double tariffs on Canadian steel and aluminum to a hefty 50 per cent. This wasn’t just a shot across the bow—it was a cannon blast aimed at one of the US’s closest trading partners.

The move came after a weekend interview where Trump had already stoked recessionary fears by hinting at aggressive trade policies to protect American interests. For a moment, it looked like we were hurtling toward a full-blown trade war escalation.

But then, in a classic Trumpian pivot, he walked it back to the previously announced 25 per cent rate after Ontario agreed to suspend a 25 per cent surcharge on electricity exports to the US This rapid de-escalation underscores a pattern we’ve seen before: bold threats followed by pragmatic deal-making. It’s a high-stakes game of chicken, and so far, it seems Canada blinked first.

The market reaction was predictably volatile. US stock indices took a beating on Tuesday, with the MSCI US index sliding 0.7 per cent, dragged down by a 1.5 per cent drop in industrials—sectors most exposed to trade disruptions. The S&P 500, already nursing a six per cent decline from last week (its lowest point in six months), couldn’t shake off the tariff jitters, though it did claw back some losses from session lows.

Across the Atlantic, the STOXX 600 shed 1.7 per cent, reflecting Europe’s growing unease about being the next target of Trump’s tariff threats. Meanwhile, US Treasury yields ticked higher, with the 10-year note climbing 6.7 basis points to 4.280 per cent and the 2-year up 6 basis points to 3.943 per cent.

The yield spread widened slightly to 33.9 basis points, hinting at lingering uncertainty about the economic outlook. The US Dollar Index, however, dipped 0.5 per cent, while gold—a classic safe-haven asset—rebounded 0.9 per cent. Brent crude eked out a 0.4 per cent gain to settle at US$69.56 per barrel, reversing some recent losses but still reflecting oil’s sensitivity to global growth fears.

What’s fascinating here is the contrast in Asia, particularly China. Despite the heavy sell-off in US equities overnight, China’s onshore markets bucked the trend. The Shanghai Composite (SHCOMP) and Shenzhen Composite (SZCOMP) both rose 0.4 per cent, buoyed by robust domestic buying.

This resilience suggests that Chinese investors are betting on Beijing’s ability to cushion any fallout from US tariffs—perhaps through stimulus or a weaker yuan. It’s a reminder that while the US remains the world’s economic heavyweight, other players are finding ways to adapt and thrive amid the chaos.

On the data front, the US economy is sending mixed signals. The NFIB Small Business Optimism Index for February fell more than expected, a worrying sign for the backbone of the American economy.

Small businesses are often the first to feel the pinch of trade uncertainty and rising costs, and this retreat could foreshadow broader weakness. Yet, the labor market continues to hold its own. January’s JOLTS data showed job openings edging up to 7.74 million, or a 4.6 per cent rate—proof of resilience despite the tariff noise.

All eyes are now on tonight’s February CPI inflation data, which could either soothe or inflame market nerves. If inflation ticks higher than anticipated, it might force the Federal Reserve to rethink its rate-cutting stance, adding another layer of complexity to an already jittery landscape.

Then there’s the cryptocurrency bombshell, which could prove to be the most consequential story of the day. David Sacks, the White House’s newly minted crypto czar, announced that the Treasury Department will focus on boosting the value of Bitcoin, XRP, and other digital assets already in the government’s possession.

This follows President Trump’s signing of an executive order to establish a Crypto Strategic Reserve, greenlighting Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA) for inclusion. It’s a stunning move—one that signals the US is not just dipping its toes but diving headfirst into the digital asset pool. The stated goal? To diversify national assets and bolster America’s financial posture in a world where cryptocurrencies are increasingly influential.

Bitcoin, currently trading above US$82,000 after a four per cent gain in the past 24 hours, is at the heart of this narrative. It’s a sharp rebound from its recent 30 per cent correction off an all-time high of US$109,350, and technical indicators suggest this dip might be nearing its end. Unlike the brutal 41 per cent crash in November 2021, this pullback feels different—less like the start of a bear market and more like a healthy breather amid unprecedented government backing.

The inclusion of other heavyweights like Ethereum, XRP, Solana, and Cardano only amplifies the stakes. This isn’t just about holding tokens; it’s about integrating crypto into the fabric of the US financial system, potentially legitimising it on a scale we’ve never seen.

The implications are profound. For one, it could reshape global risk sentiment in ways tariffs never could. While trade wars dent growth and stoke inflation, a US-led crypto reserve might spark a digital arms race, with other nations racing to stockpile their own reserves.

Posts on X already hint at this sentiment, with users like @digitalartchick noting that the real story isn’t the US buying assets but signalling to the world that crypto is now a geopolitical chess piece.

If countries like China or Russia follow suit, we could see a seismic shift in how wealth and power are measured. On the flip side, critics like @mansikthecat warn of downsides—government control over crypto could lead to price manipulation, undermining the decentralised ethos that drew many to the space in the first place.

From a market perspective, the crypto reserve adds a wild card to an already turbulent mix. Bitcoin’s four per cent jump today contrasts sharply with the S&P 500’s woes, suggesting digital assets might decouple from traditional markets in times of stress. Gold’s 0.9 per cent rise shows safe-haven demand is alive and well, but crypto could soon rival it as a go-to hedge if the US keeps pushing this agenda.

The Treasury’s focus on “increasing the value” of these assets also raises questions: Will they actively manage the portfolio? Buy more during dips? The lack of clarity keeps markets on edge, but the intent is clear—America wants to dominate the crypto frontier.

My view? This is a watershed moment, but it’s not without risks. The tariff flip-flops show Trump’s penchant for disruption, which keeps markets guessing and risk aversion high. The Crypto Strategic Reserve, while visionary, could backfire if it spooks investors or triggers retaliation—imagine China dumping US Treasuries to fund its own crypto hoard.

Yet, the US labour market’s strength and China’s equity resilience offer glimmers of hope. Tonight’s CPI data will be a litmus test: a tame reading could steady the ship, while a hot one might sink it.

For now, I see a world in flux—trade tensions pulling one way, digital innovation the other, and markets caught in the crossfire. I’ll keep digging for the facts, but one thing’s certain: March 12, 2025, will be remembered as a day when the old and new economies collided.

 

Source: https://e27.co/when-tariffs-danced-with-bitcoin-and-markets-held-their-breath-20250312/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Focusing on TBW peripheral activities: OKX Ventures held an invitation-only event “NIGHT OF THE FUTURE” to discuss new trends in Web3

Focusing on TBW peripheral activities: OKX Ventures held an invitation-only event “NIGHT OF THE FUTURE” to discuss new trends in Web3

Taipei Blockchain Week is bustling this week, gathering blockchain experts and pioneers from around the world to discuss the development trends of the next generation of the internet. On the evening of the 12th, an invitation-only event titled “NIGHT OF THE FUTURE” was co-hosted by OKX Ventures along with several internationally renowned Web3 projects and investment institutions such as SUI, Spacenation, Kronos Research, Orderly Network, Memecore, UXLink, Yei Finance, and Copex. The event featured keynote speeches and fireside chats, delving into the future development directions and trends of the cryptocurrency industry and Web3.

In addition to cutting-edge industry discussions, OKX Ventures also organized various fun activities on-site, showcasing the latest blockchain games from well-known GameFi international projects like Memefi and Spacenation for attendees to experience. A tech-themed opening dance and a fun food and drink menu were also prepared for guests to enjoy. The event attracted over 500 participants, making it the most attended invitation-only event on the first day of TBW.

During the event, OKX Ventures partner Jeff Ren emphasized in his opening speech “NOW and FUTURE of OKX Ventures” that the mission of OKX Ventures is to explore and invest in innovative blockchain projects globally, promoting sustainable development across the industry. As an investment institution deeply rooted in the blockchain industry for many years, we adhere to the strategy of “Innovation + Empowerment.” By integrating OKX’s core resources—including traffic support, trading services, public chain technology, and comprehensive technical support—we have built a complete resource ecosystem that provides comprehensive support to invested projects from early stages to critical development milestones. More importantly, OKX Ventures is not just a financial investor; we also play the dual roles of “discoverer” and “enabler.”

Mr. Jeff Ren, with nearly twenty years of investment experience, stated in his speech that since its establishment, we have invested in over 300 projects across various fields including Layer1, Layer2, DeFi, AI, and GameFi. The year 2024 is expected to be a year of gradual recovery for the blockchain industry, and OKX Ventures has completed over 80 investments this year, covering areas such as the Bitcoin ecosystem, AI, and DePIN (Decentralized Physical Infrastructure Networks). OKX Ventures will continue to allocate resources and capital to projects focused on blockchain infrastructure, GameFi, DeFi, NFTs, and more, to drive technological innovation and industry progress.

Ryan He, Head of Industry Sales at Space Nation, showcased the model and data of Space Nation games in his keynote speech “The Metaverse: A Journey Beyond Gaming,” discussing the future development of the gaming industry.

Vincent Liu, CIO of Kronos Research, discussed the evolving landscape of the cryptocurrency market and the important role of market makers in shaping its future in his keynote speech “Envisioning Crypto in 2025: The Role of Market Makers in Shaping the Future.” Vincent emphasized innovations such as decentralized order books and AI tools that are bridging the gap between centralized and decentralized systems. He also explored the growing collaboration between traditional finance and DeFi, which he believes paves the way for enhanced liquidity and efficiency in centralized models. As cryptocurrencies enter mainstream portfolios, clearer regulations and smarter infrastructure will create a fairer and more accessible market for everyone.

Additionally, Ran Yi, co-founder of Orderly Network, pointed out in his speech “DEXs 3.0: The CEX to DEX Transition” that there is still significant room for optimization in current Web3 trading. By combining the advantages of CEX and DEX to address existing pain points, user trading experiences can be significantly improved. As a cloud liquidity infrastructure project, Orderly Network focuses on integrating cross-chain derivatives liquidity, unifying orders from different chains into an on-chain order book, and creating a unified liquidity ecosystem across chains. This initiative not only effectively addresses the issue of fragmented liquidity across chains but also enhances trading efficiency, provides deeper liquidity pools, and significantly narrows trading spreads.

In the first fireside chat, DA Capital COO Tim Shen, CopeX co-founder Paul, and Alvin from Elite Trading Academy discussed the topic “How Can Communities Become a Strong Support for User Trading?” Tim Shen believes that a good trading community, as demonstrated by the DA Traders Alliance, provides different methods and tools for community users to learn based on their trading levels and experience. For beginners, timely insights from analysts are crucial; we utilize systematic tutorials to help newcomers avoid scams and correctly use cryptocurrency tools, supplemented by daily live broadcasts to build trust within the community and familiarize them with the cryptocurrency market. For community users with a foundational understanding, we provide market hot topics and project research filtered and observed by our investment research personnel, thereby eliminating information asymmetry in cryptocurrency.

CopeX co-founder Paul stated that professionalism is fundamental in building a community; KOLs must have a certain level of understanding of trading to lead users effectively. Education and interaction are also very important, as trading often involves a lot of downtime, making the process tedious and boring. Finding ways to make this process interesting and continuously providing content to users is a challenge for every community. Finally, tools are also very important; for example, CopeX can facilitate smoother trading for users, quickly obtain market information, and make it easier for KOLs and teams to manage communities while also generating additional income, which can be a significant incentive for users to join the community.

Alvin from Elite Trading Academy believes that a valuable trading community is centered around providing reliable information, professional guidance, and valuable discussions. In our Elite Trading Academy, leaders must have practical experience to provide accurate market analysis, helping users understand the essence of the market. The community should focus on learning, understanding user needs, and providing systematic content tailored to beginners or experienced investors. More importantly, the learning environment is a key factor influencing the community; given the fast-paced market changes, it should provide timely answers and perspectives to help users view the market correctly. I also believe that the core of managing a community lies in positioning and structural design; only with clear positioning can we attract the corresponding demographic.

The value of a community lies not just in providing information, but in establishing a complete knowledge system through good management strategies, structured learning, long-term practical exercises, and the integration of data and analytical tools, helping each user find their growth direction and making the community itself a long-term partner they can rely on.

The second fireside chat, hosted by Alex from Blocktempo, titled “What’s the Future of Gaming and Mini Apps,” discussed the future of GameFi and mini apps in the context of current popular Telegram discussions.

Anndy Lian from Memecore believes that in the past few years, many developers have tried to bring Web2 users into Web3 through gaming. He believes that MEME culture has untapped potential to accelerate this transition. Through MemeCore, our goal is to leverage the power of MEME to drive mass adoption, spark creativity, and expand the possibilities in the Web3 space. We aim not only to achieve product development but also to reimagine how people interact with blockchain networks.

CashCashBot founder “Sabi Ge” stated that MiniApps have already been validated in the Web2 market on platforms like WeChat and Douyin, and will soon be replicated on TG, LINE, TikTok, and other platforms. Mini-games previously seen on WeChat and Douyin will migrate to new platforms to capture new traffic and monetization opportunities. There are already professional studios developing Tap to Earn mini-games, which are just the initial, most basic steps. Interactive games, social mini-programs, and AI application mini-programs will definitely emerge in the future, all infused with Web3 value empowerment.

Darren from Space Nation delved into the future of MMORPGs and the role of virtual economies. He explained how Spacenation simplifies existing gaming models using blockchain technology rather than reinventing the wheel.

“We’re not inventing something new; we’re just simplifying what already works.”

He cited examples like “World of Warcraft,” where players have been trading assets and accounts for years. He believes that blockchain provides a more efficient and secure way to manage these transactions.

Darren also emphasized the importance of a strong in-game economy for the success of MMORPGs. He pointed out that many games fail due to economic collapse, leading to decreased player engagement.

As Bitcoin is expected to surpass $100,000 in 2024, more countries and industries are purchasing and storing Bitcoin, and research on international blockchain applications and payment tools is accelerating, showcasing the broad prospects of blockchain technology on a global scale.

 

Source: https://www.chaincatcher.com/en/article/2158286

 

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Linfinity will debut in Vietnam at the Blockchain Festival held in Ho Chi Minh City

Linfinity will debut in Vietnam at the Blockchain Festival held in Ho Chi Minh City from 24th to 25th May 2018. Mr Enzo Wang, GM of Linfinity, will deliver a keynote speech and will also discuss blockchain applications with all the blockchain experts and enthusiasts.

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

j j j