Recent trade tariffs announced by the US government have caused concern among investors, which has led to a drop in cryptocurrency markets.
As tariffs were imposed on Canada, China, and Mexico, many traders reacted by moving their funds into safer investments, fearing economic instability.
However, Jeff Park, head of alpha strategies at BitWise, believes these policies could benefit Bitcoin
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He stated in a February 3 post on X:
Tariffs might be just a temporary tool, but the permanent conclusion is that Bitcoin is not only going higher—but faster.
Park argues that the tariffs are part of a broader effort to weaken the US dollar in global trade. A lower dollar value would make American goods more competitive, which would help to reduce trade imbalances.
Park compared the current situation to the "Plaza Accord of 2.0", a 1985 agreement between the US, West Germany, France, Japan, and the UK that intentionally weakened the dollar. He believes a similar shift is happening, with trade policies being used instead of direct currency interventions.
As inflation rises due to these tariffs, other countries may also see their currencies lose value. When national currencies weaken, people often look for alternative ways to store their wealth. Park suggests that Bitcoin could become one of those alternatives, especially in regions where inflation is felt the most.
Meanwhile, Russia recently pushed back against warnings from US President Donald Trump regarding potential tariffs on BRICS nations. What did Russia's spokesperson say? Read the full story.
