The U.S. economy has experienced a significant decline, signaling potential volatility in the crypto market. Q1 2025 GDP shrank by 0.2%, marking the first contraction since 2022, driven by increased imports and reduced federal spending. Jobless claims also rose to 240,000, indicating economic slowdown impacting consumer behavior and government priorities. The impact of this decline on crypto markets is likely significant as investors often turn towards digital assets during economic uncertainty. While Bitcoin (BTC) and Ethereum (ETH) could see increased volatility, historical precedents suggest potential regulatory and market shifts that may influence investment in these assets.