The Fed just sent some pretty blunt signals about where the inflation fire is really coming from in 2025. According to Paulson, trade tariffs are driving most of the high inflation we're seeing right now—not some mystery force nobody can control. This matters because it shifts the whole narrative around monetary policy and interest rates.

Why does this hit different for crypto investors? Simple: inflation trends directly influence how central banks set rates, which ripples through asset valuations. When tariffs push inflation higher, it changes expectations around when rate cuts might actually happen. That kind of uncertainty tends to shake risk-on assets, including Bitcoin and altcoins. The takeaway here isn't just economics textbook stuff—it's about reading what's really pressuring prices and positioning accordingly.