High stakes, hard bargaining.

Is Trump starting a trade war?

Last week, Trump suddenly announced new import tariffs on goods from Mexico, Canada, and China. This set the stage for an aggressive negotiation strategy—one that seems to be working. Within days, the U.S. reached a preliminary deal with Canada and Mexico, leading to a temporary suspension of tariffs. China also responded strongly this week, further escalating tensions between the world’s two largest economies.

Markets did not react well to this news. Both traditional and crypto markets saw significant declines, driven by fears of renewed inflation and a potential delay in interest rate cuts—something investors had been eagerly anticipating. Crypto, as a high-risk asset, took an additional hit as investors sought safer options.

What does this mean for you as an investor? Geopolitical turmoil like this can create significant volatility. While crypto is under pressure now, history shows that these periods often present great opportunities for long-term investors.

The ‘golden age’ for crypto? the U.S. takes a big step toward clarity.

The crypto industry got a major boost this week. During his first press conference as the U.S. ‘AI and crypto czar,’ David Sacks announced ambitious plans to reestablish the U.S. as a global leader in digital assets. His message was clear: the era of regulatory uncertainty and legal battles is over—it’s time for a golden age for crypto. One of his key initiatives is the creation of a digital asset taskforce, which will work alongside policymakers and industry experts to establish clear and practical regulations. Additionally, Sacks is pushing for faster approval of bitcoin ETFs and a legal framework for stablecoins, paving the way for broader adoption in the traditional financial system.

For years, the American crypto sector has been stuck in regulatory limbo, causing businesses and capital to flee to more crypto-friendly jurisdictions. Sacks’ approach signals a turning point: a government that no longer fights crypto but actively supports it. This is exactly the message crypto entrepreneurs and investors have been waiting for. Clear regulations mean more confidence, and more confidence leads to greater institutional inflows.

With this announcement, the U.S. is finally taking serious steps toward a future where crypto is a core part of the financial system. For investors, this is a game-changer—and possibly the beginning of a golden era for digital assets.

Retail panic selling while big investors accumulate bitcoin.

Recent crypto market volatility has led many retail investors to sell off their bitcoin holdings out of fear of further price declines. This panic selling contributed to a sharp correction, with bitcoin dropping over 14% in a short period, from $106,400 to $91,530. While small investors are selling in fear, on-chain data shows that large investors—so-called ‘whales’—are using this correction as a buying opportunity.

This pattern is nothing new: during times of market stress, retail investors often sell out of panic, while institutional investors and whales take advantage of lower prices to accumulate more bitcoin. This highlights a key insight for long-term investors: true opportunities arise in times of uncertainty. Those who let emotions dictate their decisions often miss out on the upside that follows.

At Novelist, we invest in crypto for the long term. We don’t get caught up in short-term volatility but focus on fundamental value and the bigger picture. While markets fluctuate, we strategically build a strong portfolio. These types of market movements create precisely the opportunities that patient investors benefit from in the long run.