The Biggest Market Crash Since 2020, What Next? | Felix Jauvin & Quinn Thompson

This episode explores the shifting macroeconomic landscape and its implications for cryptocurrency markets, particularly Bitcoin. Against the backdrop of a surprisingly hawkish Federal Reserve and the unexpected economic consequences of the Trump administration's policies, two macro experts, Quinn and Felix, discuss their bearish outlook at the start of the year, which proved accurate. More significantly, the conversation delves into the impact of "Liberation Day" and the imposition of substantial tariffs on China, analyzing the resulting market reactions and the subsequent flight to safety. For instance, the panelists detail how the initially perceived 10% tariff rate escalated to a much higher effective rate, triggering significant market corrections and margin calls. As the discussion pivoted to the broader implications, the experts debated the primary objectives of the tariffs—whether to lower interest rates or to strategically realign Western countries against China. In contrast to the initial bullish sentiment, the panelists ultimately concluded that the current market volatility necessitates a cautious approach, suggesting a diversified portfolio strategy that includes gold, Bitcoin, and high-beta technological investments. This means for investors that a nuanced understanding of macroeconomic factors and the ability to adapt to rapidly changing market conditions are crucial for navigating the current environment.