Bitcoin Steady as US Confirms Economy Shrank in Q1

The American economy had its first contraction since 2022, Revised official statistics Discovered on Thursday, as the economy decreased by a year 0.2% during the first quarter of 2025.

If this sounds like déjà vu, that’s because now Logged in the initial data At the end of April and on Thursday morning he published his last and revised report.

Because economic slowdown is not a completely surprise, the response to the cryptocurrency market was largely muffled. At the time of writing, Bitcoin is a trading apartment, Ethereum threw out the trend climbing 1.1%, and Xrp It only dropped 0.4% in the past day. The largest initiator in the top 10 tokens per market capitalization is Saltworks which fell 1.3%on the day.

The revised figures show the gross domestic product – the value of the goods and services provided in the country – recorded by 0.2% in the USA in the first quarter of 2025.

The US Bureau of Economic Analysis said that the reduction of American gross domestic product (GDP), the values ​​of goods and services provided in a country, reflects an increase in imports and reducing state consumption.

This follows the global trade war of President Trump, which recorded more than 180 countries with tariffs up to 104%. Market widely tenging As Trump applied, revised and re -applied the tariffs to numerous main trade partners, including China, the UK and Europe.

Recently seemed to make trade war facilitated Trump Extension of deadline for negotiations on the European Union And now reaching an agreement with China. With that, Bitcoin She broke to the new maximum of all time As the market responded to Trump’s withdrawal.

But it seems that the period of trade war has not been without its economic consequences.

Compared to the fourth quarter 2024, which recorded 2.4% of GDP profit, the Bureau report for economic analysis revealed a clear slowdown of consumer consumer consumption. This is at the top of the increase in imports and falls of state consumption.

Fortunately for the crypto merchants, the main tokens mostly flew from this news.

The strongest drivers that day are both coins. Ethereum token SPX6900 (SPX) jumping 10.9% and Solana Meme Coin Fartcoin (Fartcoin) that fell 7% – completely muffled moves data for such volatile assets.

Edited Stacy Elliott.