Massive GDP Miss Fuels Recession Fears: Will the Fed Pivot Save Bitcoin?

U.S. GDP miss sparks recession fears and raises odds of a Federal Reserve policy pivot Surging imports and falling federal spending weigh heavily on Q1 2025 economic output Bitcoin may benefit as investors eye Fed easing amid rising economic uncertainty The U.S. economy stumbled in the first quarter of 2025, missing GDP expectations by a wide margin and sending shockwaves through financial markets. The lower-than-expected figures have reignited fears of a recession while simultaneously sparking hopes that the Federal Reserve could pivot toward a more accommodative monetary policy. As liquidity concerns grow, investors are now watching Bitcoin and other risk assets closely for signs of recovery. Bitcoin’s performance, although modestly volatile, could gain if the Fed changes course and injects fresh liquidity into the system. Q1 GDP Growth Slows Sharply Economic growth for the first quarter came in considerably short of projections, marking the weakest performance since early 2022. This slowdown sharply contrasts with the 2.4% growth seen in the final quarter of 2024. Steep rise in imports, falling government expenditures, and tariff-related uncer… The post Massive GDP Miss Fuels Recession Fears: Will the Fed Pivot Save Bitcoin? appeared first on Coin Edition .

Source: Coin Edition