Bitcoin's volatility surged to 3.6% on March 19, the highest level since August 2024, signaling increased market uncertainty amidst evolving economic conditions in the U.S. The chief revenue officer of cryptocurrency exchange Paybis, Uldis Tearudklans, highlighted the complexity in the policy landscape, particularly due to the introduction of Elon Musk's Department of Government Efficiency. This department has reportedly saved the U.S. government an estimated $115 billion, raising concerns about the broader economic impact on employment and consumer demand. Tearudklans noted that fiscal tightening could hinder growth, potentially forcing the Federal Reserve to adopt a cautious stance. Bitcoin's price has fluctuated significantly, dropping to a low of $77,041 during mid-March before rebounding to around $84,000. The volatility reflects traders anticipating various fiscal outcomes, including possible contractions alongside steady interest rates. Additionally, President Trump's engagement with the crypto community at the 2025 Digital Asset Summit was mentioned as influential, amid a general climate of rising geopolitical tensions that impact financial markets.

Source 🔗