On April 2, 2025, U.S. President Donald Trump announced the imposition of tariffs on a wide range of goods from various countries, which could negatively impact high-risk asset markets, including cryptocurrencies. Experts at QCP Capital believe that this decision will exert pressure on these assets in the short term.
This is reported by Business • Media
Pressure on High-Risk Asset Markets
Trump described April 2 as “Liberation Day,” emphasizing the need to end the privileged status of other countries that benefit from the economic advantages of the U.S. He stressed, “This has to stop.”
According to Associated Press data, the new tariffs could be burdensome for most American households; however, there is a possibility that the restrictions will be temporary, as Trump is willing to consider easing them in exchange for something.
Macroeconomic Forecasts and Market Reaction
Experts at QCP Capital note that the imposed tariffs could affect many countries, including Canada, Japan, China, and EU states. In light of escalating macroeconomic issues, analysts predict the possibility of a correction in high-risk asset markets.
“Without significant changes in the macroeconomy or a compelling catalyst, we do not expect a substantial reversal. While light positioning may support growth, we will not chase any upward movements until the broader macroeconomic picture improves,” analysts stated.
Regarding the Federal Reserve System, QCP Capital notes that the market expects at least two rate cuts in 2025. Meanwhile, under the current circumstances, the regulator is adopting a wait-and-see approach, as the introduction of new tariffs could lead to increased inflation.
It is worth noting that the Fed decided to keep rates unchanged in mid-March 2025. Trump’s stringent economic measures have a direct impact on both the stock and cryptocurrency markets.