Bitcoin Stable Amid US Economic Contraction

U.S. Economy Contracts Amidst Trade War, Crypto Markets Stable

• The U.S. economy contracted by an annualized 0.2% in Q1 2025, the first contraction since 2022.
• This economic slowdown is linked to President Trump’s trade war, which imposed tariffs up to 104% on over 180 countries.
• The decrease in GDP reflects increased imports and decreased government spending.
• Bitcoin traded flat while Ethereum rose by 1.1%, showing a muted response from crypto markets.

The U.S. Bureau of Economic Analysis confirmed a GDP contraction of 0.2% in Q1 2025, attributed to increased imports and reduced government spending amidst ongoing trade tensions.