The article discusses the current risk-off sentiment in the markets, with trade tensions and concerns over inflation leading to declines in Bitcoin, Ethereum, and equities. The S&P 500, Nasdaq-100, and Dow Jones Industrial Average all experienced losses. Additionally, futures for the Nikkei 225 and Hang Seng indicate further losses in Asia. The article also mentions that President Donald Trump is expected to sign an executive order reversing anti-crypto banking policies. Investors are now focused on the upcoming Consumer Price Index (CPI) report, and any upside surprise could weigh further on risk assets. The article also discusses shifting liquidity conditions that some analysts believe could benefit risk assets in the future. However, markets will still have to contend with trade tensions and the potential for a global economic slowdown. Overall, the outlook for digital assets is uncertain but could potentially diverge from broader risk markets.
Bitcoin, Solana and Crypto Markets Likely in ‘Classic Bear Trap’ Before Euphoric Move: InvestAnswers