Trade war tensions boost Bitcoin’s appeal as safe haven alongside gold

Bitcoin Emerges as Safe-Haven Asset While China and Russia Bypass Dollar System

  • Bitcoin gaining recognition as a safe-haven asset alongside Gold during global trade tensions
  • China and Russia reportedly using Bitcoin for international settlements to bypass the U.S. dollar
  • Analysts see Bitcoin gradually transitioning from a speculative asset to a safe-haven investment

Global markets have been shaken following US President Donald Trump‘s April 2 announcement of reciprocal import tariffs, driving traditional stock markets into record sell-offs and pushing Bitcoin below the $75,000 mark. Financial analysts are noting that despite the volatility, the escalating trade war may highlight Bitcoin’s growing potential as a safe-haven asset alongside gold.

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China’s Finance Ministry announced on April 9 new tariffs of up to 84% on US imports, effective April 10, responding directly to Trump’s 34% tariff on Chinese goods that took effect April 9. This retaliatory measure has intensified market uncertainty while potentially enhancing Bitcoin’s appeal.

Hunter Horsley, CEO of crypto asset manager Bitwise, explained in an April 9 post: "You want to store value in something other than U.S. assets. But you don’t want to own other nations’ currencies/debt/assets because they’re even weaker and you expect they’ll debase it… You wind up buying Bitcoin."

While Bitcoin offers advantages through its digital nature and 24/7 liquidity, Aurelie Barthere, principal research analyst at Nansen crypto intelligence platform, told Cointelegraph that gold remains dominant: "Bitcoin is promising, but it’s still quite volatile, it could get there gradually. The PBOC has been shedding U.S. Treasury holdings and increasing gold reserves for years."

Nations Exploring Bitcoin for International Settlement

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Emerging reports suggest some countries are already implementing crypto assets for international trade settlement. According to Matthew Sigel, head of digital assets research at VanEck, in an April 8 note: "China and Russia have reportedly begun settling some energy transactions in Bitcoin and other digital assets."

Sigel highlighted additional examples, including Bolivia‘s plans to use crypto for electricity imports and French utility firm EDF exploring Bitcoin mining with surplus power. These developments indicate growing interest in neutral settlement rails that bypass the U.S. dollar system.

Bitcoin’s Evolving Asset Profile

André Dragosch, macro analyst and European head of research at Bitwise, noted that Bitcoin’s changing "volatility profile" suggests it is "gradually maturing from a risky asset to a safe-haven asset."

Market expert Michaël van de Poppe, founder of MN Consultancy, told Cointelegraph that positive developments could reinvigorate crypto investments: "We’ll start to see the rotation toward the crypto markets in the coming period where there’s more calm and peace in the markets where investors start to buy the dip and understand that some things have been undervalued."

Some industry analysts view Trump’s global tariff negotiations as "posturing" to reach an agreement with China, which could ultimately reduce uncertainty and potentially benefit risk assets like cryptocurrencies.

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