The fast-paced developments in the world of cryptocurrencies reflect geopolitical tensions, particularly between Iran and the United States. Last year, increased tensions between these two nations visibly impacted financial markets. As of now, the ongoing protests in Iran, combined with President Trump’s recent “help is on the way” statement, are about to take on a new dimension.
Powell Under Pressure
On the macroeconomic front, confusion prevails. As shared in detail previously, Jerome Powell released a video suggesting he might face jail if he doesn’t lower interest rates. He disclosed that the Department of Justice is set to sue him over building renovations. Powell’s term ends in mid-May, and his successor will be announced later this month. Despite Powell’s distress call, President Trump stated during the U.S. market opening:
“Great (LOW!) inflation numbers for the USA. This means that Jerome “Too Late” Powell should significantly lower interest rates!!! If he doesn’t, it will remain “TOO LATE”! ALSO, GREAT GROWTH NUMBERS CAME OUT TOO. Thanks, TARIFFS SIR! President DJT”
Trump and Iran
Moments before, Trump declared the suspension of all negotiations with Iran through another post. His use of the phrase “help is on the way” in this tension-escalating statement is particularly intriguing.
“Iranian patriots, CONTINUE THE PROTESTS — TAKE CONTROL OF YOUR INSTITUTIONS!!! Record the names of killers and abusers. They will pay a great price. I have canceled all my meetings with Iranian officials until the senseless killing of protesters STOPS. HELP ON THE WAY.”
Following his intervention in Venezuela, Trump’s potential for bold actions towards Iran is no longer deemed impossible. Known for unpredictability, Trump could initiate attacks or other types of interventions targeting Iran, resulting in significant impacts on global markets. In the coming days, this anxiety may negatively influence cryptocurrencies while potentially yielding positive outcomes in charts for gold and silver.
