The US economy contracted in the first quarter of 2025, prompting speculation about a more accommodative Federal Reserve stance. This shift could potentially benefit Bitcoin and other risk assets as investors seek alternatives to traditional stock markets during volatile economic times. The recent GDP decline of -0.3% marks the first negative growth since 2022 and is likely to influence Fed policy decisions in the coming months. Institutional investors, seeking diversification strategies in uncertain economic conditions, are increasingly turning towards Bitcoin as a potential hedge. Analysts suggest that this trend could lead to a significant redistribution of capital within financial markets.