At the same time, inflation continues to be a major factor. The temporary 90-day tariff reduction deal between the U.S. and China provided modest relief, with tariffs remaining high on several important industries, including electric vehicles, semiconductors, and electronics.
Retailers are beginning to feel the effects. Walmart stated that it would have to add prices due to the increased costs associated with tariffs. CFO John David Rainey called the price increases “somewhat unprecedented” and indicated that the company was not ready to offer a quarterly forecast.
These will further develop the reason to view Bitcoin’s value as a hedge against inflation, when believers appreciate the total supply of 21 million coins, rather than the elasticity of fiat currency supply.