BITCOIN ACTS LIKE STORE OF VALUE THAT IT IS AMID TRUMP POLICY CHAOS: NYDIG

Last updated: June 19, 2025, 21:48 | Written by: Cameron Winklevoss

Bitcoin Acts Like Store Of Value That It Is Amid Trump Policy Chaos: Nydig
Bitcoin Acts Like Store Of Value That It Is Amid Trump Policy Chaos: Nydig

In an increasingly uncertain economic landscape shaped by shifting U.S. policies, Bitcoin is exhibiting characteristics of a reliable store of value. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIGAccording to a recent report from the New York Digital Investment Group (NYDIG), Bitcoins behavior during periods of ""US-risk-off"" sentiment indicates a potential shift in its relationship with traditional assets.This comes at a time when the actions of former President Donald Trump, including his foray into memecoins, support of DeFi exchanges, and advocacy for deregulation, have introduced an element of unpredictability into the market. Trump has launched his own memecoin, backed a DeFi exchange, and advocated for deregulation, blurring the lines between policy and personal profit. For many in the industry, this is a double-edgedFor investors seeking refuge from policy-induced volatility, Bitcoin is emerging as an attractive alternative, showcasing its resilience and potential as a safe haven asset. Learn More About Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIG . You can get details information in this topicThis article delves into the details of NYDIG's findings, explores the implications of Trump's influence on the crypto market, and examines the broader factors contributing to Bitcoins evolving role in the global financial system.Could this be the signal that Bitcoin is finally maturing into the store of value so many proponents have talked about for years?Let's explore.

The Rise of Bitcoin as a Store of Value Amidst Economic Uncertainty

NYDIG's analysis points to a significant trend: Bitcoin is beginning to act as a store of value during times of economic anxiety in the United States.This marks a departure from its earlier behavior, where it often mirrored the performance of riskier assets like tech stocks. Bitcoin has acted less like a liquid levered version of levered US equity beta and more like the non-sovereign issued store of value that it is. Cipolaro noted that Bitcoin has gained more than 13% since the beginning of April, while US markets such as the S P 500 and tech-heavy Nasdaq have declined amid escalating global trade tensionsNow, when U.S. markets face turbulence, Bitcoin is increasingly seen as a safe harbor, a place to park capital and protect it from erosion. Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIG. Bitcoin is starting to act as a store of value during times of US-risk-offThis transformation could be attributed to a number of factors, including growing institutional adoption, increased regulatory clarity (despite ongoing debates), and a deeper understanding of Bitcoins inherent scarcity.

Greg Cipolaro, NYDIG's global head of research, highlighted this shift, noting that Bitcoin felt ""noticeably different"" during the trading week ending April 25. Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIG Coin Telegraph 18 minutes ago 23 Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group.He observed that Bitcoin has been behaving ""less like a liquid levered version of levered US equity beta and more like the non-sovereign issued store of value that it is.""

De-Correlation from Traditional Assets

One of the key indicators of Bitcoins evolving role is its de-correlation from traditional assets.While the S&P 500 and the Nasdaq have faced headwinds amid escalating global trade tensions, Bitcoin has shown relative strength, even gaining value.This suggests that investors are beginning to view Bitcoin as a distinct asset class with its own unique drivers and characteristics, rather than simply as a high-risk tech play.

Since the beginning of April, Bitcoin has gained more than 13%, while U.S. markets have declined.This divergence underscores Bitcoins potential to act as a hedge against broader market volatility and economic uncertainty.

Trump's Influence on the Crypto Market: A Double-Edged Sword

The former President Donald Trump's involvement in the crypto space presents a complex and multifaceted situation. Bitcoin News; Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIGOn one hand, his embrace of memecoins, DeFi exchanges, and advocacy for deregulation could be seen as legitimizing the industry and attracting new participants. Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIG. Ukraine seizes $19,500 from crypto wallet dedicated to supporting Russian forces.On the other hand, his actions have also raised concerns about conflicts of interest and the potential for market manipulation.

Trump's foray into the crypto world includes:

  • Launching his own memecoin.
  • Backing a DeFi exchange.
  • Advocating for deregulation of the crypto industry.

These actions have blurred the lines between policy and personal profit, creating uncertainty and potentially undermining investor confidence.While some may view Trump's involvement as a positive sign of mainstream acceptance, others see it as a cautionary tale of the risks associated with political influence in the crypto market.

Executive Order on Strategic Bitcoin and Digital Assets Reserve

Adding another layer of complexity, former President Trump signed an executive order establishing a strategic Bitcoin and digital assets reserve. Bitcoin is starting to act as a store of value during times of ldquo;US-risk-off rdquo; sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group.Bitcoin (BTC) felt ldquo;noticeably different rdquo; over the trading week ended April 25, NYDIG rsquo;s global head of research Greg Cipolaro said in an April 25 marketThis reserve is intended to be stocked with seized crypto assets held by the Treasury. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to NYDIG s global head of research, Greg Cipolaro.The implications of this order are far-reaching:

  • It acknowledges the growing importance of Bitcoin and digital assets in the global economy.
  • It provides a mechanism for the government to accumulate and control a significant amount of cryptocurrency.
  • It raises questions about the future of crypto regulation and the role of the government in the digital asset market.

Factors Driving Bitcoins Store of Value Narrative

Several factors contribute to Bitcoins growing reputation as a store of value:

  1. Scarcity: Bitcoins supply is capped at 21 million coins, making it inherently scarce.This scarcity, like that of gold, makes it attractive as a hedge against inflation and currency devaluation.
  2. Decentralization: Bitcoin is not controlled by any central authority, such as a government or a financial institution.This decentralization makes it resistant to censorship and manipulation.
  3. Security: Bitcoins blockchain is secured by cryptography, making it extremely difficult to hack or tamper with.
  4. Global Accessibility: Bitcoin can be sent and received anywhere in the world, making it a convenient means of transferring value across borders.
  5. Increasing Institutional Adoption: Major financial institutions are increasingly recognizing the potential of Bitcoin and are beginning to offer Bitcoin-related products and services.

These factors, combined with growing awareness and understanding of Bitcoin, are driving its adoption and solidifying its position as a store of value.

Bitcoin vs. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group.Gold: A Digital Comparison

For years, gold has been the undisputed king of store of value assets.However, Bitcoin is increasingly being compared to gold as a digital alternative. Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIG Segunda, 28 de Abril de 2025 (49 minutos atr s) Cointelegraph Nike sued for $5 million over its shutdown ofBoth assets share several key characteristics:

  • Limited Supply: Both gold and Bitcoin have a limited supply, making them resistant to inflation.
  • Store of Value: Both assets are seen as a safe haven during times of economic uncertainty.
  • Portability: While gold can be difficult to transport and store, Bitcoin can be easily transferred and stored digitally.
  • Divisibility: Bitcoin can be divided into smaller units (satoshis), making it accessible to a wider range of investors.

While gold has a long history as a store of value, Bitcoin offers several advantages, including greater portability, divisibility, and accessibility.As a result, many investors are beginning to view Bitcoin as a viable alternative to gold.

Understanding ""US-Risk-Off"" Sentiment

The NYDIG report frequently mentions ""US-risk-off"" sentiment.What does this term actually mean? Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assetsIn simple terms, ""US-risk-off"" sentiment refers to a situation where investors become more risk-averse towards assets based in or related to the United States. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York DigitalThis can be triggered by various factors, including:

  • Economic Uncertainty: Concerns about the U.S. economy, such as inflation, recession, or unemployment.
  • Geopolitical Risks: International conflicts, trade wars, or political instability that could negatively impact the U.S.
  • Policy Changes: Unpredictable or controversial policy decisions that create uncertainty for businesses and investors.
  • Market Volatility: Significant fluctuations in U.S. stock markets or other financial markets.

When ""US-risk-off"" sentiment prevails, investors tend to move their capital away from U.S. assets and into safer havens, such as gold, bonds, or, increasingly, Bitcoin. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New YorkThis flight to safety can drive up the price of these assets, while simultaneously putting downward pressure on U.S. assets.

Examples of ""US-Risk-Off"" Events

Throughout history, there have been numerous examples of ""US-risk-off"" events that have impacted global markets.Some recent examples include:

  • The 2008 Financial Crisis: The collapse of the U.S. housing market triggered a global financial crisis, leading to a flight to safety and a surge in demand for gold.
  • The 2020 COVID-19 Pandemic: The outbreak of the COVID-19 pandemic caused widespread economic disruption and uncertainty, leading to a sell-off in U.S. stocks and a surge in demand for safe-haven assets.
  • Geopolitical Tensions: Rising tensions between the U.S. and other countries, such as China or Russia, can also trigger ""US-risk-off"" sentiment.

Challenges and Criticisms of Bitcoin as a Store of Value

Despite its growing popularity as a store of value, Bitcoin still faces several challenges and criticisms:

  • Volatility: Bitcoins price can be highly volatile, making it difficult to use as a stable store of value.
  • Regulatory Uncertainty: The regulatory landscape for Bitcoin and other cryptocurrencies is still evolving, creating uncertainty for investors.
  • Scalability: Bitcoins network can only process a limited number of transactions per second, which can lead to delays and high fees during periods of high demand.
  • Environmental Concerns: Bitcoins mining process consumes a significant amount of energy, raising environmental concerns.
  • Security Risks: While Bitcoins blockchain is secure, exchanges and wallets can be vulnerable to hacking and theft.

These challenges need to be addressed in order for Bitcoin to fully realize its potential as a store of value.

Addressing Volatility Concerns

Volatility remains one of the biggest hurdles for Bitcoin to overcome in its quest to become a widely accepted store of value.While Bitcoins price has appreciated significantly over the long term, it has also experienced periods of extreme volatility, which can be unsettling for investors.

Several factors contribute to Bitcoins volatility, including:

  • Market Speculation: Bitcoins price is often driven by speculation, rather than fundamentals.
  • Liquidity: Bitcoins market is still relatively illiquid, making it more susceptible to price swings.
  • Regulatory Uncertainty: Regulatory uncertainty can also contribute to Bitcoins volatility.

As the market matures and becomes more liquid, and as regulatory clarity increases, Bitcoins volatility is likely to decrease. BTCUSD Bitcoin Bitcoin acts like store of value that it is amid Trump policy chaos: NYDIG Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York DigHowever, it is important to remember that Bitcoin is still a relatively new asset class and that volatility is likely to remain a factor for the foreseeable future.

Practical Steps for Investors

If you're considering investing in Bitcoin as a store of value, here are some practical steps you can take:

  1. Do Your Research: Understand the risks and potential rewards of investing in Bitcoin before you put any money into it.
  2. Start Small: Don't invest more than you can afford to lose.
  3. Diversify Your Portfolio: Don't put all your eggs in one basket. According to a report from the New York Digital Investment Group (NYDIG), Bitcoin is starting to behave more like a store of value during periods of U.S. economic uncertainty.Diversify your investments across different asset classes.
  4. Use a Reputable Exchange or Wallet: Choose a secure and reputable exchange or wallet to store your Bitcoin.
  5. Secure Your Wallet: Protect your wallet with a strong password and enable two-factor authentication.
  6. Stay Informed: Keep up-to-date on the latest news and developments in the Bitcoin space.

Investing in Bitcoin can be a rewarding experience, but it's important to approach it with caution and to do your homework.

Looking Ahead: The Future of Bitcoin as a Store of Value

The future of Bitcoin as a store of value is uncertain, but the trends are encouraging. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group. Bitcoin (BTC) felt noticeably different over the trading week ended April 25, NYDIG s global head of research Greg Cipolaro said in an April 25 market note. We ve beenAs institutional adoption grows, as regulatory clarity increases, and as the market matures, Bitcoin is likely to become an increasingly important asset class. Bitcoin begins to act as a value store during the US-Risk-Off sentiment, which has marked a potential transfer to its relevance to traditional propertiesIf Bitcoin can overcome its challenges and maintain its scarcity and decentralization, it has the potential to become a major store of value in the global economy.

While former President Trump's actions add a layer of complexity and uncertainty, the fundamental drivers of Bitcoins store of value narrative remain strong. Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group. Bitcoin (BTC) felt noticeably different over the trading week ended April 25, NYDIG s global head of research Greg Cipolaro said in an [ ]As investors seek alternatives to traditional assets in an era of policy chaos, Bitcoin is well-positioned to emerge as a leading safe haven asset.

Conclusion

The NYDIG report sheds light on a fascinating development: Bitcoin is increasingly acting as a store of value amidst economic uncertainty and policy shifts, particularly those associated with former President Trump's actions.While challenges remain, the growing institutional adoption, inherent scarcity, and decentralization of Bitcoin are strengthening its position as a potential safe haven asset. Bitcoin is showing signs of acting as a store of value during periods of risk aversion in the U.S, reflecting a notable shift in its relationship with traditional assets, as highlighted by NYDIG s Greg Cipolaro.The key takeaways are:

  • Bitcoin is showing signs of de-correlation from traditional risk assets.
  • ""US-risk-off"" sentiment is driving demand for Bitcoin as a safe haven.
  • Trump's involvement in the crypto market presents both opportunities and risks.
  • Volatility and regulatory uncertainty remain challenges for Bitcoin to overcome.

As the crypto market continues to evolve, it's crucial for investors to stay informed, diversify their portfolios, and exercise caution when navigating the complexities of this emerging asset class.Is Bitcoin the store of value of the future? Bitcoin is starting to act as a store of value during times of US-risk-off sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group.Bitcoin (BTC) felt noticeably different over the trading week ended April 25, NYDIG s global head of research Greg Cipolaro said in an April 25 market note.Only time will tell, but the signs are certainly pointing in that direction.

Cameron Winklevoss can be reached at [email protected].

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