How bad was the US dollar performance in 2025? The Bloomberg US Dollar Spot Index fell 8% for the year, marking the largest annual decline in nearly eight years. This data is enough to reflect the market's attitude. The story behind it is the new tariffs introduced by Trump in April, after which the dollar started to decline and has not rebounded significantly since.

But what truly makes the market nervous is not just these surface numbers. The key lies in the internal changes within the Federal Reserve—Powell's term is nearing its end, and Trump may nominate a dovish successor. You understand what this means, right? A dovish chair would likely pursue an aggressive rate-cutting policy, which would directly weaken the attractiveness of the dollar.

Once the Fed shifts to easing, capital will find ways to move out in search of higher returns, further intensifying the dollar's depreciation pressure. This weak environment could persist. For the crypto market, such an environment of loose liquidity often means opportunities.