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EU Freezes US Trade Deal as Trump Pitches America as “World’s Crypto Capital”

EU Freezes US Trade Deal as Trump Pitches America as “World’s Crypto Capital”

DailyCoinDailyCoin2026/01/22 16:27
By:DailyCoin

In a new video, crypto YouTuber and XRP-focused commentator Levi links an escalating EU–US trade rift with a more aggressive pro‑crypto posture from Donald Trump, arguing the mix could be short‑term bearish but structurally bullish for digital assets.

The most immediate claim: the European Union has “officially…suspended their trade deal with the United States” in response to US tariff moves tied to Greenland and broader NATO‑ally tariff hikes of 10–25%.

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While specific legal details are not provided, the creator frames it as a clear deterioration in transatlantic trade relations that is already feeding risk‑off sentiment across markets.

Donald Trump: “America Is Still The Crypto Capital”

At the World Economic Forum, Trump is shown emphasizing US economic dominance and then directly addressing digital assets. In a clip the creator plays, Trump says he is “working to ensure America remains the crypto capital of the world” and references having signed a “landmark Genius Act” into law, describing it as part of an effort to “unleash innovation and savings and financing.”

He adds that Congress is “working very hard on crypto market structure legislation…which I hope to sign very soon” signaling continued White House support for a federal framework that would govern Bitcoin and other cryptocurrencies.

The video also highlights a separate Trump claim: that $2,000 “tariff stimulus checks” could be issued to all Americans “without congressional approval.” The host calls that “the most crazy thing for crypto,” invoking the 2020–21 stimulus episodes and arguing that new direct payments would likely spill over disproportionately into risk assets.

Banks & Legislation: The Long Game For XRP

To make the longer‑term bullish case, the creator leans heavily on remarks from investor David Sacks, who says once US “market structure” legislation passes, “the banks are gonna get fully into the crypto industry.” Combined with BlackRock CEO Larry Fink’s repeated enthusiasm for real‑world asset tokenization, the video presents this as confirmation that institutional crypto integration is a matter of timing rather than direction.

In the near term, however, the host expects pressure on Bitcoin, XRP, and major altcoins as trade tensions deepen. He cites Bitcoin briefly dropping below $92,000, roughly $800 million in liquidations across crypto, and synchronized drawdowns in Ethereum, Solana, and XRP as evidence that tariff headlines are already pushing investors out of speculative assets.

Still, the XRP analyst argues that rising US GDP, strong equities and gold, along with pending crypto legislation & potential cash injections via tariff‑linked stimulus, create a macro backdrop that favors long‑horizon crypto holders who can endure volatility.

For crypto investors, especially XRP holders, the practical takeaway is bi-fold: expect heightened headline risk from an EU–US trade confrontation in the short run, but watch Washington’s crypto market‑structure push and any concrete movement on stimulus or bank participation as the real catalysts for the next leg of the cycle.

Dig into DailyCoin’s popular crypto news today:
Global Reset In Davos 2026: Has XRP Won The World Economic Forum?
Binance Lists Ripple’s RLUSD With Immediate Zero-Fee Promo

People Also Ask:

Does the video claim the EU–US trade breakdown is already affecting crypto?

Yes. The content creator links the suspension of the trade deal and new tariff threats to a spike in liquidations and a broad pullback across major coins.

What specific US crypto policy is mentioned?

Trump references ongoing “crypto market structure legislation” in Congress and a previously signed “Genius Act” framed as pro‑innovation and supportive of making the US the “crypto capital of the world.”

How are banks expected to respond to new United States financial rules?

According to the David Sacks clip, once market‑structure legislation is in place, major banks are expected to “get fully into the crypto industry,” reducing the divide between traditional finance and digital assets.




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Market Sentiment
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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