The US-EU tariff war escalates, and the pressure for the US dollar to depreciate emerges

【BitPush】Geopolitical tensions escalate, adding new variables to US-EU relations. The Trump administration’s disagreement with Europe over Greenland has led to plans to impose an additional 10% tariff on European countries starting February 1, prompting the EU to consider reciprocal retaliatory measures. These developments have signaled to the market the possibility of dollar depreciation.

Barclays Bank’s analysis indicates that the tense international situation will prompt foreign investors to hedge against the risk of dollar devaluation in advance. In the short term, the probability of the dollar continuing to weaken is increasing. For cryptocurrency market participants, this macroeconomic backdrop often enhances the appeal of non-sovereign assets like Bitcoin—when the dollar is under pressure, investors tend to turn to alternative assets for preservation of value.