These past two years, the financial markets have indeed staged quite a few dramas. The tariffs imposed by the U.S. government through executive orders are now before the Supreme Court for review. If found illegal, the tariffs to be refunded to companies could exceed $133.5 billion, plus potential investment compensation, pushing the total into the trillions. Although officials claim the country "cannot afford it," the hidden risk is—if refunds are actually made, the Federal Reserve's money printing pressure will sharply increase, bringing inflation risks along with it.

How much impact does this have on the crypto space? Let the data speak. Currently, the correlation between Bitcoin and the Nasdaq has risen to 0.74. What does this mean? If the U.S. stock market drops 10%, Bitcoin will likely follow with a 7.4% decline. When tariffs were first introduced last year, Bitcoin plummeted from $87,000 to $82,000, and crypto ETF net outflows on a single day reached $8.6 billion. The once-held belief that "digital gold can hedge risks" has long been answered by reality.

Many investors still live in the illusion that the U.S. stock and crypto markets operate independently. In fact, they are already tied together. Every policy wave directly influences crypto prices—there is no truly independent safe haven. The current situation has fallen into a dilemma: policy implementers face pressure, and market participants must endure it as well. The development over the next few months warrants ongoing attention, but one thing is certain—relying solely on crypto assets to hedge traditional financial risks is a strategy that needs to be re-evaluated.