Crypto news, market moves and trade turmoil | Bitpanda Weekly Wrap

Markets cool after a heated start to the year

Market sentiment remained rocky this week, with investors closing out the first quarter in a decidedly risk-off mood. The S&P 500 just notched its worst quarterly performance in three years, dragged down by new tariffs from President Trump (more on that later), a slump in Big Tech, and a weakening economic outlook. The optimism that kicked off the year has faded fast and been replaced by falling consumer confidence and a growing sense that the data simply isn't living up to the hype. As one strategist put it, “it’s getting harder to be optimistic - and the market is showing it”.

TL;DR: The markets had a tough week to end a tough quarter. With more uncertainty on the horizon, most asset prices remain muted.

Key price movements

• BTC: -2.98%, €76.934,30

• ETH: -6.06%, €1.668,21

• S&P 500: -7.57%

• Euro Stoxx 50: 6.39%

Prices as of 11am, 04 April 2025

This was a week of two halves. While markets saw some early stock recoveries early on, these were largely wiped out in the second half of the week. Asian and European markets tumbled Thursday morning, with Tokyo’s Nikkei falling 4%, the Euro Stoxx 50 down 2.5%, and the FTSE falling 1.5% on open. The sentiment, and the losses, look set to continue today.The biggest losers so far? US stocks, which are down 10% since Trump took office.

The dollar slid to a five-month low this week as concerns mounted over the economic fallout from Trump’s tariff barrage. The greenback dropped more than 1% against both the euro and the yen, while Treasury yields slipped toward the key 4% mark.

Ethereum hasn’t escaped the broader slowdown either. Network activity has slumped, and with it, the ETH burn rate. Q1 marked Ethereum’s worst quarter since 2022, raising fresh questions about the pace of demand for blockspace and how that affects ETH’s supply dynamics.

Bitcoin wasn’t immune from the wider market impact and fell to EUR 73k before stabilising around EUR 75k.

While markets stumbled, one giant crypto player stepped up with big plans. Circle, the company behind the USDC stablecoin, has filed to go public on the New York Stock Exchange. This is Circle’s second attempt at an IPO after a failed merger back in 2022, but this time, the numbers look stronger.

Physical gold closed at record highs on Wednesday and has seen a 20% increase since the start of the year - the biggest surge since 2020, when the world was feverish with pandemic worry.

What next? The question that markets are now asking is, “How will the world respond”? There have been strongly worded statements but no hard responses from the affected economies…yet. It’s hard to price in uncertainty, so if it escalates, there’s a lot of uncertainty for traders to deal with.

TL;DR: Uncertainty and the risk of more tariffs are still bad for markets.

Explore the latest crypto prices and market trends.

Mo’ tariffs, mo’ problems

On Wednesday, the long-awaited tariff announcement from President Trump was delivered in the Whitehouse’s Rose Garden. The headlines are that the US is imposing a baseline 10% tariff on all imported goods, with significantly higher rates for certain countries.

The speech had everything from special guests to a giant placard, but underneath all of the showmanship, this was the largest change to US foreign and trade policy in decades and the steepest set of levies imposed in a century. While negotiations are still underway between the US and key trade partners, the underlying threat is that counter-tariffs are very much on the table. The EU and China, in particular, are threatening swift action if negotiations don’t deliver.

While the Trump administration argues that tariffs will boost the domestic industry and correct trade imbalances, the benefits will take time and money to materialise. Boosting domestic industry requires investment in new factories and infrastructure, and while many US companies have said they are ready to commit the necessary resources, factories aren’t built in a day.

As Bitpanda CEO Eric Demuth pointed out on LinkedIn, an economic slowdown might actually be the point.

Whatever the motivation behind the tariffs, the best-case scenario for global markets is that negotiations are successful and tariff levels are reduced. A de-escalation would be a signal to markets and potentially create a buying opportunity. However, if we are about to enter a tit-for-tat tariff exchange, then prices could fall further.

For now, the list of companies likely to be impacted is long and encapsulates any industry that has a big US import market but manufactures its products elsewhere. This includes:

• Fashion companies such as Nike and Adidas (Vietnam)
• Car manufacturers, including Ford and Jaguar Land Rover (UK)
• Tech companies such as Apple and Nvidia (China)
• And, of course, Scottish Whiskey

Caught in the crossfire: Penguins. It appears that no man or bird is safe from the tariffs as even the remote, uninhabited Heard and McDonald Islands in Antarctica are now facing a 10% rate. The islands, which are technically part of Australia’s external territories, are home to exactly zero people, several glaciers, and a robust penguin population. To reach them, you need to mount an official expedition, gain approval, and then take a lengthy boat ride from Perth. A strong stomach and the kind of existential curiosity that usually ends in frostbite are advised. The penguins - who we assume are anti-tariff - were unavailable for comment.

TL;DR: All focus is now on the world’s response to US tariffs. More tariffs = more uncertainty, meaning more volatility.

Is it Prime time for TikTok?

Amazon has submitted a bid to acquire TikTok's US operations. With the government-imposed deadline fast approaching for ByteDance to divest its American assets, Amazon has given us a last-minute plot twist which could see the birth of a new e-commerce megolith. Currently, the bid isn’t being taken very seriously, but stranger things have happened…

Amazon's interest in TikTok makes sense. The social media platform has rapidly evolved into a significant player in e-commerce, with features like TikTok Shop driving substantial sales, particularly among younger demographics.

By integrating TikTok's social prowess with its own vast online retail ecosystem, Amazon could tap into new revenue streams and continue to fuel the dreams of dropshippers everywhere. A bold prediction here - expect more YouTube videos on ‘how to become a millionaire with Amazon dropshipping (via TikTok)’ if the acquisition goes ahead.

The biggest barrier to the deal is regulation. Amazon is already under intense scrutiny from antitrust regulators, and adding a major social media platform to its portfolio is likely to make these concerns worse.

For our European readers who feel like they need more ‘discovery e-commerce’ in their lives, don’t worry. TikTok Shop is apparently coming to Europe soon…

TL;DR: Amazon has made a bid to buy TikTok so it can expand its online retail business. We foresee more influencer-led advertising in TikTok’s future if the deal goes ahead.

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