{"id":127866,"date":"2025-04-24T11:18:54","date_gmt":"2025-04-24T11:18:54","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=127866"},"modified":"2025-04-24T11:18:54","modified_gmt":"2025-04-24T11:18:54","slug":"trump-fought-the-bond-market-the-bond-market-won-saifedean-ammous","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=127866","title":{"rendered":"Trump fought the bond market, the bond market won: Saifedean Ammous"},"content":{"rendered":"

Source: Cointelegraph.com NewsAnalysts are criticizing the financial implications of US President Donald Trump\u2019s import tariffs, a development that some say highlights Bitcoin\u2019s unique economic properties during times of global uncertainty.
\nTrump\u2019s 90-day pause on higher reciprocal tariffs, reverting them to a 10% baseline for most countries except China, has exposed vulnerabilities in the US bond market, according to critics.
\nEconomist and author of The Bitcoin Standard, Saifedean Ammous, said Trump\u2019s decision to reverse the higher tariffs was likely a reaction to rising bond yields, suggesting the administration\u2019s hand was forced.
\n\u201cTrump fought the bond market and the bond market won,\u201d Ammous said in an April 23 X post. \u201cThe gambit seemed to work for the first day, and the huge crash in the stock market was presented as a small price to pay for fiscal sustainability.
\n\u201cBut then the bonds began to crash, and it became clear how disastrous the tariffs were, and how wrong it was to expect that deliberately crashing the stock market would boost the bond market,\u201d he added.
\nSource: Saifedean AmmousRelated: Trump\u2019s tariff escalation exposes \u2018deeper fractures\u2019 in global financial system
\nTreasury yields spike after tariff move
\nFollowing Trump\u2019s tariff announcement, CNBC data shows that the 10-year Treasury yield surged from under 4% to 4.5% amid a sell-off driven by inflation and recession concerns.
\n10-year bond yield, 1-year chart. Source: CNBC\u201cThe rise in yields was the exact opposite of what the administration wanted, and reversing course on the tariffs half a day after they go into effect was absolutely devastating for Trump\u2019s negotiating position,\u201d Ammous said.
\nSome analysts, including Global Macro Investor founder Raoul Pal, have suggested the tariff maneuvering may only be \u201cposturing\u201d for the US to reach a trade agreement with China.
\n\u201cAll of the talk about China buckling under the threat of Trump now sounds hilarious in retrospect, when Trump could not keep his tariffs in place for two days,\u201d Ammous said, adding that China \u201cshowed absolutely no inclination\u201d to reach out and strike a deal.
\nDelays in reaching a trade agreement may limit the recovery of both equity and cryptocurrency markets, which hinge on the outcomes of the trade negotiations, according to Nansen analysts.
\nMeanwhile, Bitcoin (BTC) is acting \u201cless like a tech stock and more like a hedge against economic uncertainty,\u201d after Trump signaled a \u201csubstantial reduction in tariffs on Chinese goods,\u201d Nexo dispatch analyst Iliya Kalchev told Cointelegraph.
\nRelated: Crypto, stocks enter \u2018new phase of trade war\u2019 as US-China tensions rise
\nTrade wars reignite the need for a Bitcoin standard
\nThe situation has revived long-standing proposals to back the US dollar with Bitcoin.
\nAmmous said the US should keep buying BTC until the government holds enough to fully back the dollar supply, ultimately switching to a Bitcoin standard:
\n\u201cKeep buying bitcoin until the value of the bitcoin held by the US government is enough to back the entire US dollar supply, then go on a bitcoin standard where dollars are redeemable for bitcoin, and have the government never spend more than it earns.\u201d
\nHistorically, the dollar was backed by gold and redeemable for a fixed amount of the precious metal until 1933, when President Franklin D. Roosevelt suspended gold convertibility in response to the Great Depression.
\nIn 1971, President Richard Nixon halted the dollar\u2019s convertibility into gold, aiming to protect the US gold reserves and stabilize the economy, marking the beginning of the fiat currency system that remains in place today.
\nBitcoin\u2019s fixed supply, which is hard-coded in its tokenomics, makes it a popular digital competitor to gold.\u00a0
\nJoe Burnett, director of market research at Unchained, predicted that Bitcoin may rival or surpass gold\u2019s market capitalization in the next decade, projecting that the Bitcoin price will surpass $1.8 million by 2035.
\nMagazine: Bitcoin ATH sooner than expected? XRP may drop 40%, and more: Hodler\u2019s Digest, March 23\u201329Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Source: Cointelegraph.com NewsAnalysts are criticizing the financial implications of US President Donald Trump\u2019s import tariffs, a development that some say highlights Bitcoin\u2019s unique economic properties during times of global uncertainty.… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/127866"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=127866"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/127866\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=127866"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=127866"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=127866"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}