Weekly Wire | Economic Shifts Impact Crypto and Equity Markets

This Week's Market News

Macro-markets remain heavily influenced by ongoing geopolitical developments and shifting economic policies. Escalating tensions in Ukraine, including regional strikes and fluctuating cease-fire expectations, have, driven investors toward safe-haven assets such as government securities and cash, while other look to buy other assets on sale. Additionally, upcoming U.S. tariffs on goods from Canada, Mexico, and China, set to take effect on April 2, are factoring into some investor decisions, with concerns about potential trade disruptions impacting equities and risk assets, but also incentivizing others to buy the dip – notably Michael Saylor picked up $1.9 billion worth of BTC. Central banks, such as the Swiss National Bank, have adopted cautiously optimistic stances, with rate adjustments signaling moderate growth expectations and adding to the complex macroeconomic landscape. Equity markets reacted on Monday, with the Nasdaq and S&P testing recent lows, while gold surged above $3,100. 

In the crypto space, Bitcoin dipped below $82,000, aligning with broader risk-off sentiment. Ethereum hit five-year lows against Bitcoin, while altcoins like Solana and XRP saw declines exceeding 6%. More than $260 million in liquidations were reported in the past 24 hours, according to CoinGlass, as traders adjusted positions ahead of key policy changes and inflation data. Despite the downturn, some analysts suggest Bitcoin's long-term potential remains intact, with projections of a rebound to new highs by the second quarter of 2025 if macroeconomic conditions stabilize. Global liquidity, as measured by M2 money supply, continues to grow, highlighting its role as a key driver of asset prices, including Bitcoin. Analysts expect this trend to support markets over the medium term. For further insights, see [Global Liquidity (M2) vs. Bitcoin Price | BM Pro] 

News to Watch

Exclusive | The Trump Family Advances Its All-Out Crypto Blitz, This Time with Bitcoin Mining - WSJ 

BlackRock CEO Larry Fink warns dollar at risk of losing world reserve currency status to digital assets like bitcoin | The Block 

Strategy buys another 22,048 bitcoin for $1.9 billion, taking total holdings to 528,185 BTC | The Block 

Metaplanet issues $13.3 million in new bonds to buy more bitcoin as Nikkei dips 4% | The Block 

Altcoins see inflows for first time in 5 weeks as 'positive but cautious' investors add $226 million to global crypto funds: CoinShares | The Block 

Bitcoin miner MARA eyes $2 billion stock offering to buy more BTC | The Block 

Japan mulls officially classifying crypto as financial product: Nikkei | The Block 

Elon Musk says US gov has 'no plans' to use Dogecoin; price drops 3% | The Block 

Image source: Investing.com

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