On April 4, Bitcoin saw gains while U.S. stock markets dropped sharply, losing $3.5 trillion in value amid concerns raised by Federal Reserve Chair Jerome Powell regarding potential inflation and economic slowing due to new tariffs imposed by the Trump administration. During a conference, Powell warned that these tariffs could lead to 'higher inflation and slower growth,' directly impacting the Fed's inflation target. Despite a rise in unemployment to 4.2%, non-farm payrolls exceeded expectations, indicating underlying economic strength. Concurrently, Bitcoin's price showed signs of 'decoupling' from the stock market's downturn, rising to $84,720 as traditional markets collapsed. Analysts noted this was a shift from typical market behavior, suggesting investors may be shifting towards cryptocurrencies in reaction to traditional market volatility. Powell's cautious stance and the unexpected labor market results highlight increasing challenges in managing inflation alongside economic growth.

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