Crypto markets experienced a dramatic sell-off recently following announcements of escalating tariffs by China and U.S. Treasury sanctions, raising concerns about the global economic outlook. This downturn coincides with increasing volatility in financial systems. Economic uncertainty is evident as major players like JPMorgan Chase and Treasury Secretary highlight potential recessionary pressures while advocating for a different approach to market stability. The impact of these geopolitical shifts resonates across various sectors including crypto markets where losses are significant. The S&P 500 dropped sharply, and the 10-year treasury yield surged, signaling volatility and market instability. Experts warn that the Fed’s passive stance may further exacerbate market turmoil, potentially leading to a surge in cryptocurrency prices or a crash. The coming days will be crucial as we await clarity from the Federal Reserve on their future policy moves.