[US Morning Briefing] Why did investors choose Bitcoin and gold amid tariff volatility?

Welcome to the US Morning Crypto Briefing. We'll inform you about today's key cryptocurrency developments.

Enjoy your coffee while checking how emerging market investors are strengthening digital assets and tokenized alternatives. The US dollar is showing weakness, and inflation risks are increasing.

Investors Choose Cryptocurrencies and Gold Amid US Economic Crisis

As trade war confusion and recession concerns increase, the US's safe status is being questioned, and financial market volatility is intensifying.

Current Washington headlines are focused on escalating trade tensions, which are becoming major market drivers for US cryptocurrency news. According to Fasset's CEO Rafi Hussain, trading volumes for specific assets have surged internationally.

"While US tariff headlines are dominating macro discourse, emerging markets are showing more nuanced reactions. In countries like Indonesia and Pakistan, Fasset's trading activity has more than doubled this week. This is not just because users have returned from Eid, but also due to increased demand for assets that feel resilient in uncertainty." – Rafi Hussain, Fasset CEO

This suggests that insightful investors are reconsidering strategies and restructuring portfolios. Particularly, they are turning their eyes to emerging markets where traditional asset access has historically been limited.

"While cryptocurrencies are leading the surge, interestingly, there's also increased interest in tokenized gold and US stocks." – Rafi Hussain

These portfolio diversification efforts are unsurprising, as Donald Trump's US tariff policies are triggering global market volatility.

Macroeconomic signals are already darkening. The Federal Reserve's current inflation figures do not fully reflect the impact of ongoing tariffs.

Economists are sounding alarms, with Moody's Analytics' chief economist Mark Zandi warning of inflation pressures through summer.

"...if current trade policies persist, inflation statistics will look quite bad by mid-summer." – Mark Zandi, Moody's Analytics Chief Economist

Zandi did not rule out the possibility of a recession. His perspective came despite Donald Trump's president suspending all mutual tariffs for 90 days, excluding China.

This warning aligns with China's claim that retaliatory tariffs on US goods are not competitive under current tariffs. Tariffs are import taxes borne by US companies, and Zandi added that these costs are typically passed on to consumers.

Meanwhile, Hussain notes that well-informed investors are adapting, not panicking.

"It's clear that high-growth market investors are not retreating, but recalibrating, seeking more control in unpredictable environments through diversification." – Rafi Hussain

Elsewhere, the Dollar Index (DXY) is declining against rising commodity prices. In this context, digital access to cryptocurrencies, tokenized commodities, and US stocks are currently the chosen hedge.

Today's Chart

TradingView data shows the DXY has fallen nearly 10% year-to-date, dropping from its January 13th intraday high of $109.87 to the current $99.04.

Today's Key News

• The US debt ceiling now exceeds $36.2 trillion, alleviating short-term default concerns but raising long-term fiscal sustainability questions.
• China retaliates with 125% tariffs on US products. Starting tomorrow, April 12th, signaling no further retaliation as US product competitiveness now hangs in the balance.
• US Dollar Index (DXY) drops to a 3-year low, sparking optimism about Bitcoin price rise.
• Grayscale updates investable altcoin list. Added three and removed six in Q2.
• Bitcoin faces downward pressure as miners increase coin sales, leading to negative miner net outflows.
• One analyst warns Ethereum might experience a slow decline, comparing it to Nokia's fall due to scalability issues and competition with Solana.
• Polymarket sees 77% probability of XRP ETF approval in the US following Ripple and SEC's joint moves to conclude their long legal dispute.

Cryptocurrency Stock Pre-Market Overview