Meet Sarah. She's a mom of two, works a 9-to-5, and just like you and me, she's feeling the squeeze. Groceries are soaring, gas prices are a damn nightmare, and every time she’s too afraid to open her investment app, she feels that familiar confidence slip away. Then, picture what happens if Trump follows through on his promise to impose huge tariffs on imports. What happens next? Sarah's already stretched budget gets even tighter. That new TV she wanted? Forget about it. The cost of everything imported goes up.
Let’s face it, tariffs are just a highly regressive tax you’re imposing on your constituents. They’re sold to the American public as needed protections for American industries, but too often they just result in paying more at Walmart. Trump’s recent rhetoric on tariffs? Well, it has Sarah, and many others, fearful of a coming recession.
Well, what if we told you there is a way to protect yourself — at least in part — from all of this? A way to say, "Hey, I'm not entirely reliant on this system?" That's where Bitcoin comes in.
I know, I know. Bitcoin. The wild west of finance, right? Volatile as hell. But hear me out. Bitcoin's decentralized. Nobody controls it. No democracy can print more of it forever. Only 21 million will ever exist. Because sovereign governments are whipping up the money supply at unprecedented rates. In this atmosphere, scarcity is the new sexy.
Think of it as digital gold. A safe haven currency as the international economic order begins to show signs of erosion. Is it risky? Absolutely. Isn’t that sitting by and watching your purchasing power erode totally risk-free? Not a chance.
Here's where it gets interesting. Trump's tariffs could force the Fed's hand. Remember 2020? Then COVID hit, the economy tanked, and the Fed started up the money printer with both rate cuts and quantitative easing. What happened? And as they did, risk assets, like equities… and Bitcoin, went on a tear.
With his comments, Fed Governor Christopher Waller seems determined to make the message pretty explicit. He’s prepared to lower rates if Trump’s tariffs are enacted to help keep recession at bay. He even went on to say the recession risk would be worse than the risk of inflation. What does that mean? More money printing. And what does more money printing do? It devalues the dollar.
This is the sneaky trick. Trump's trying to protect American industries, but his actions might inadvertently trigger a wave of money printing that sends Bitcoin soaring. What if he’s inadvertently setting the stage for Bitcoin’s next bull run.
Global liquidity, represented by the Global M2 money supply, is increasing. Usually, this has been a reliable leading indicator of Bitcoin’s price direction. Are we out of the woods yet? Nobody knows for sure. Yet many analysts are now forecasting Bitcoin to reach $150,000 – $300,000 by 2025.
Now, caveat time, don’t get me wrong here, I’m not suggesting you go mortgage your house and invest all of it into Bitcoin. It's volatile. There are risks. You could lose money. On the other hand, downside risk is massive … particularly if the Fed resumes its money printing ways.
I am not a financial advisor. This is not financial advice. Always do your own research before investing in any security, equity, or tranche—especially in a highly volatile asset like Bitcoin.
Do your homework. Understand the risks. Think of Bitcoin as one slice of a diversified portfolio. There’s no need to have every idea in one proposal.
The world is changing. The old rules don't apply anymore. Perhaps it will take a ratification of Trump’s tariffs for Bitcoin to finally go mainstream. Are you going to be ready?
Don’t let your cash sit on the sidelines and lose value. Explore your options. Bitcoin could be exactly the recession fighter you’ve been searching for.
Look, I'm not saying go mortgage your house and dump it all into Bitcoin. It's volatile. There are risks. You could lose money. But the potential upside is enormous, especially if the Fed starts printing money again.
Disclaimer: I am not a financial advisor. This is not financial advice. Do your own research before investing in anything, especially volatile assets like Bitcoin.
What Should You Do?
Do your homework. Understand the risks. Consider Bitcoin as a small part of a diversified portfolio. Don't put all your eggs in one basket.
The world is changing. The old rules don't apply anymore. Trump's tariffs might just be the catalyst that pushes Bitcoin into the mainstream. Are you going to be ready?
The Takeaway
- Tariffs hurt consumers.
- The Fed might respond to tariffs with money printing.
- Money printing is good for Bitcoin.
- Bitcoin is risky, but so is doing nothing.
- Do your own research.
Don't just sit there and watch your money devalue. Explore your options. Bitcoin might just be the recession fighter you've been looking for.