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Buying And Holding Bitcoin Is The Best Strategy To Navigate The Trump Tariff War

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3 months ago

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Today, The Wall Street Journal (WSJ) published an article attempting to discredit Bitcoin amidst the recent US, Canada, and Mexico tariff trade war, because bitcoin’s price has gone down in the wake of the news.

“Bitcoin — touted as a borderless, digital store of value — is down more than 4% over the last 24 hours, after the White House instigated cross-border tariffs,” the article stated. “Cryptocurrencies were once promoted as investments that act independently of stocks, but in fact their moves often resemble outsized versions of broader market swings.”

In the second sentence cited above, the WSJ attempts to diminish bitcoin’s value proposition by pointing out that bitcoin’s price is just correlated with other traditional assets.

What the author of the article doesn’t share, though, is that bitcoin’s price is going to go down, and up, much more so than traditional assets, because it’s incredibly liquid, and it’s easy to buy and sell. But Bitcoin is a distributed network made up of miners, nodes, developers, and users — on a technical level, it is quite different from other assets like stocks, as it has no central party controlling it.

Because of this, bitcoin has been a safe haven for those trying to navigate geopolitical fears. No one can just print more bitcoin out of thin air and inflate the supply, enforce any unwanted network changes overnight, or overthrow and stop the network from running.

But don’t just take my word for it, take Larry Fink’s, the CEO of the world’s largest asset manager, BlackRock. Just a couple of weeks ago, Fink said that he is a true believer in Bitcoin’s value proposition and that if you’re frightened of the geopolitical fears in your country, you can now have an international-based asset that operates completely independently from those tensions.

Sure, Bitcoin’s price will respond to news and events happening in the short term, causing large price actions to the upside or downside, but cherrypicking data in an attempt to make bitcoin look like it’s a bad investment is just bad reporting and misleading. Bitcoin has been the best performing asset of the last 15 years, and will likely continue to perform well due to its value proposition.

The important point to understand here is that while Bitcoin is a volatile asset reacting to daily events, over the long term, bitcoin’s value proposition is what takes its price higher and higher. For the first time in history, we have money that can not be hyperinflated. Bitcoin also allows people to transact across borders freely, without permission, giving users an escape hatch for anyone whose country is attempting to control them financially.

Forget short term price when it comes to bitcoin as a tool to help navigate geopolitical tensions. Over the long term, Bitcoin’s supply and demand will take the price higher than it is today. Mainstream media articles on Bitcoin have always missed the bigger picture and end up misleading the people who read them. As geopolitical tensions increase, bitcoin is the safest asset you can own.

This article is a Take. Opinions expressed are entirely the author’s and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.





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Here’s How Bitcoin Could Boost Demand for US Treasuries, According to Macro Guru Luke Gromen

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25 minutes ago

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April 28, 2025

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Veteran macro investor Luke Gromen says he likes Bitcoin (BTC) due to its potential to influence demand for US Treasuries.

In a new video update, the founder of the macroeconomic research firm Forest for the Trees (FFTT) says the Trump administration is in a position to boost demand for US bonds after the president signed an executive order creating a Strategic Bitcoin Reserve.

A Bitcoin bull market typically increases demand for dollar-pegged crypto assets, and according to Gromen, could ultimately drive demand for US Treasuries.

“Note that the Trump administration is still talking about putting T-bills (Treasury bills) into stablecoins, using stablecoins as a means to drive demand for T-bills. And obviously, they’ve talked about the Strategic Bitcoin Reserve.

Left unsaid in all of that is that the higher the Bitcoin price, the more stablecoin demand, the more T-bill demand there is…

I think the underlying theme of [the] US government desperately needs balance sheet and stablecoins and therefore Bitcoin can help the US government find balance sheet. I think that is absolutely still in play.

It’s one of the reasons why we still like Bitcoin over the intermediate longer term.”

Stablecoin issuers such as Tether and Circle predominantly rely on Treasury bills to back their coins on a 1:1 basis. As of December 2024, Tether has invested over $94.47 billion in T-bills to back USDT. Meanwhile, Circle owns $22.047 billion worth of T-bills as of February of this year to back USDC.

Additionally, two stablecoin bills that are progressing through Congress, the STABLE Act of 2025 and the GENIUS Act of 2025, require issuers to invest in T-bills and other real-world assets to back their coins.

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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Monero’s XMR Rockets 40% as XRP Leads Crypto Majors Gains

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4 hours ago

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April 28, 2025

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Shaurya is the Co-Leader of the CoinDesk tokens and data team in Asia with a focus on crypto derivatives, DeFi, market microstructure, and protocol analysis.

Shaurya holds over $1,000 in BTC, ETH, SOL, AVAX, SUSHI, CRV, NEAR, YFI, YFII, SHIB, DOGE, USDT, USDC, BNB, MANA, MLN, LINK, XMR, ALGO, VET, CAKE, AAVE, COMP, ROOK, TRX, SNX, RUNE, FTM, ZIL, KSM, ENJ, CKB, JOE, GHST, PERP, BTRFLY, OHM, BANANA, ROME, BURGER, SPIRIT, and ORCA.

He provides over $1,000 to liquidity pools on Compound, Curve, SushiSwap, PancakeSwap, BurgerSwap, Orca, AnySwap, SpiritSwap, Rook Protocol, Yearn Finance, Synthetix, Harvest, Redacted Cartel, OlympusDAO, Rome, Trader Joe, and SUN.





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Expert Reveals Why The Ethereum-To-Bitcoin Ratio Is Falling

Published

7 hours ago

on

April 28, 2025

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The Ethereum-to-Bitcoin ratio has fallen to its lowest level in five years after a dismal Ethereum price performance. As investors try to wrap their heads around the grim metric, Taproot Wizards co-founder Eric Wall has explained the reason behind the steep drop.

Eric Wall Highlights Reasons For ETH/BTC Ratio Collapse

Taproot Wizards co-founder Eric Wall has identified a raft of reasons behind the decline of the ETH/BTC ratio in 2025. The cryptocurrency expert revealed the factors behind the falling ETH/BTC ratio in an X post, hinging the bulk of the blame on Ethereum’s recent price performance.

The ETH/BTC ratio slumped to a five-year low after Ethereum bucked the trend of following Bitcoin on a rally after the halving event. While Bitcoin price rose to cross the $100K mark, Ethereum price has tumbled below $2,000 to reach lows of $1,400.

For Wall, one factor affecting the ETH/BTC ratio appears to be Ethereum’s position in a competitive landscape. Since its launch, several blockchains have cropped up to snag market share from the largest altcoin, offering cheaper fees and faster processing times.

The cryptocurrency expert argues that the absence of a Saylor-like buyer for ETH is playing its role in the decline of the ETH/BTC ratio. Michael Saylor’s BTC purchases have contributed to the asset’s performance, but Wall argues that Ethereum does not have a consistent buyer.

Wall adds that Bitcoin and gold have evolved into wartime assets in the current macroeconomic climate, while ETH is considered a “peacetime asset.” Gold has surged to new highs, sparking optimism that Bitcoin will follow in the same path for a similar rally, while the Ethereum price continues its unimpressive run.

The Merge Is Not Responsible For The Ratio Decline

Eric Wall notes that Ethereum’s Merge event is not responsible for the ETH/BTC slump, contrary to popular sentiment. Ethereum migrated from Proof-of-Work to Proof-of-Stake in 2022, with the ETH/BTC ratio tanking since the Merge.

“The ETHBTC ratio did not go down because of The Merge,” said Eric Wall.

However, pseudonymous cryptocurrency analyst Beanie argues that the Merge is the primary reason for the price decline. Rebuffing the speculation, Wall opines that Ethereum’s layer 2 tokens triggered network fragmentation after botching the “asset value capture narrative,” affecting the ETH/BTC ratio.

“Ethereum also stagnated into a depressingly small number of defi primitives relative to what past expectations were,” added Wall.

Ethereum is flashing signs of brilliance after ETH trading volume spiked to $17.5 billion in less than a day. ETH prices are exchanging hands at nearly 1,800 after an impressive 12% rally that saw it outperform SOL and XRP

 

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Aliyu Pokima

Aliyu Pokima is a seasoned cryptocurrency and emerging technologies journalist with a knack for covering needle-moving stories in the space. Aliyu delivers breaking news stories, regulatory updates, and insightful analysis with depth and precision. When he’s not poring over charts or following leads, Aliyu enjoys playing the bass guitar, lifting weights and running marathons.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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