QCP Capital Questions Trump’s and Fed’s Readiness to Support Markets

Global markets are currently counting on either a put from U.S. President Donald Trump or a Fed put. However, both options seem uncertain in the near term, which could push Bitcoin below $75,000, according to QCP Capital.

Asia Colour — 9 Apr 25

1/ Markets extended their declines overnight after the U.S. slapped a fresh wave of tariffs on China — bringing total levies on Chinese imports to a staggering 104%. A bold move with global ripple effects.

— QCP (@QCPgroup) April 9, 2025

Experts noted that volatility remains high: the “fear index” VIX has stayed above 40 points for three consecutive sessions, and even “safe havens” like gold and U.S. government bonds are failing to fulfill their roles.

They explained this phenomenon as investors’ attempts to shed risks and meet margin requirements.

The U.S. President employs a martingale strategy, raising stakes each time his demands are not met, analysts pointed out.

“Given that most of the leverage is in China’s hands, the question arises: how many more chips can the U.S. afford to throw into the game?” ― the review states.

Amid a stable labor market and rising inflation, the Fed will maintain its monetary policy unchanged in the foreseeable future. This contrasts with expectations of four rate cuts in 2025, including speculation about emergency intervention, experts highlighted.

According to QCP Capital, Bitcoin may not hold $75,000 if there is another wave of risk aversion in stocks.

In April, Bernstein described the resilience of the first cryptocurrency’s price amid tariff turbulence as “impressive.”

Earlier, former BitMEX CEO Arthur Hayes stated that new U.S. tariffs could trigger a capital flow into digital gold.