Trump's escalated tariff policies heightened global trade tensions, increasing macroeconomic uncertainty. This triggered risk-off sentiment across financial markets, including cryptocurrencies. Investors, fearing economic slowdown and market volatility, shifted funds to safer assets like gold and bonds. The risk involves reduced investor confidence, leading to capital outflows from riskier assets such as cryptocurrencies. Additionally, potential impacts on global trade and economic growth raised concerns about corporate earnings and consumer spending, further dampening market sentiment. As a result, the cryptocurrency market, often seen as a high-risk asset class, experienced alongside traditional markets.