Many traders have been paying close attention to a major news story this morning—Trump publicly expressed approval of White House economic advisor Hasset and hinted at the possibility of extending his tenure. Once this news broke, traditional financial markets responded immediately with quite a strong reaction.

The key here is how the market interprets Hasset's policy stance. The market generally considers him to be part of the dovish camp, and Trump has frequently mentioned expectations of interest rate cuts. The combination of these factors prompted traders to react quickly: the US dollar index strengthened, while gold prices plummeted to their lowest levels since Tuesday this week. This synchronized but opposite movement reflects how the market is rapidly digesting this information.

What does this kind of volatility mean for cryptocurrency holders? In the short term, a rising dollar often puts pressure on risk assets like Bitcoin—because when the dollar is strong, capital tends to flow back into dollar-denominated assets. But from another perspective, the dovish expectations for the Federal Reserve actually imply that future liquidity could be more abundant, which is quite favorable for the medium- to long-term crypto market ecosystem. Historically, whenever traditional financial markets experience intense turbulence, new funds tend to explore cryptocurrencies as a supplementary asset allocation option.

Of course, short-term price fluctuations are inevitable. But from a longer-term perspective, the transparency and decentralization features of blockchain technology continue to attract mainstream capital’s attention. This policy change may just be another catalyst, helping more people realize the role of crypto assets in diversified investment portfolios.