- President Donald Trump’s meeting with Ukrainian President Volodimier Zelanski at the White House turned into a hot argument.
- The meeting may have shook the nervousness in the financial markets, failing to see a recovery with bitcoin and S&P 500.
- Mexc COO TRACY JIN said that the current drawdown of bitcoin is a healthy risk release within a bull market.
US President Donald Trump met Ukrainian President Volodimier Zelansky on Friday to discuss possible solutions to end Ukraine’s war with Russia.
Deagal from the discussion immediately affected the crypto markets, failing to recover the level of $ 85,000 at the Bitcoin (BTC) press time.
Trump-Zelansky meeting increases stress in bitcoin and stock markets
A hot argument came to light at the Oval Office on Friday, as the meeting of President Donald Trump and Ukrainian President Volodimier Zelanski ended in the War in the War of Ukraine-Russia War.
Trump and Vice President JD Vance faced Zelancesi on their attitude towards American aid in the war.
After the meeting, investment markets experienced another drawdown. Bitcoin range-bound, trading a slightly above $ 84,000 at the press time.
Stock markets are displaying similar patterns. S&P 500 and Nasdaq-100 have fallen 200 and 1,200 points from their all-time high levels respectively.
This highlights the growing correlation between cryptocurrency and traditional shares.
While recently the bik-off was seen prominently from Trump’s tariff threats on international trading partners, hedge funds have played an important role in increasing the decline.
A Crypto Finance platform matrixport report shows that these firms are opening their bitcoin base trades due to low profitability as the risk-to-feeling started growing in the market.
“The yield opportunities have decreased significantly since the December FOMC meeting, and later trading volume falls, it is no surprise that hedge funds are opening their arbitration positions. It is clear in record outflow from Bitcoin ETF, because these funds are out of trades which are no longer profitable.” Matrixport analysts wrote.
He said, “These hedge funds collectively organize $ 10 billion in bitcoin ETFs, and as the total flow leads to $ 39 billion, it suggests that at least 25% of the bitcoin ETF is tied to the ETF capital arbitration trades,” he said.
Despite the recession, the Chief Operating Officer of MexC Trishi Jin believes that the current improvement is an essential and healthy phase within a broad bull market cycle.
“Current drawdown is a healthy risk release within a bull market. After the initial adjustment in altcoins and bitcoins, American stocks are expected to experience similar reforms,” Jin said.
Looking forward, Jin expressed optimism towards market conditions in 2025, stating that Dradown is a mirror of May 2021 recently.
“The current decline rhythm is similar to the market situation around May 2021. At that time, after a continuous growth, the market experienced a rapid pullback, formed a” major improvement “landscape. This time, the drawdown can clean the short -term speculative wealth, paves the way for a subsequent rebellion,” Jin said.
