$BTC Hit by Double Shock: One Was Known — One Came Suddenly
We have talked about tariffs many times. I literally posted about it again and again.
Trump’s tariff pressure was loud, public, and expected. Markets knew the risk: higher tariffs keep inflation sticky, slow trade, and support a stronger dollar. That stress was already sitting in positioning. By itself, it should not have snapped BTC structure like this.
What changed was the second shock.
While attention stayed on US headlines, Japan’s bond market moved suddenly. Long-dated Japanese government bond yields jumped as the Bank of Japan did not step in aggressively. Japan is a core funding hub for global leverage. When yields rise there, capital pulls back home, carry trades unwind, and liquidity disappears fast. That kind of move forces selling across risk assets, including Bitcoin.
At the same time, pressure is building on the policy side in the US. There is little expectation of a rate cut this month from the Federal Reserve, and that already removes a key safety net for traders. On top of that, Trump’s public allegations and pressure on Jerome Powell are raising questions around Fed credibility and independence. Even if policy does not change, markets hate this kind of noise. It adds uncertainty exactly when liquidity is tightening.
😿 My take: tariffs set the background stress, Japan delivered the sudden trigger, and doubts around the Fed — with no rate cut expected — made this month feel like a nightmare for traders. Until bond markets stabilize or policy clarity improves, BTC remains exposed to sharp, macro-driven moves.
$ETH $RIVER #WhoIsNextFedChair #TrumpTariffsOnEurope #CPIWatch
