The US Economic Analysis Agency (BEA) posted a sparkling GDP report today. Nevertheless, the Crypto and Tradfi markets have been declining consistently.
While well-known economists and analysts take these numbers seriously, there is growing skepticism about the credibility of data. This trend can make the market even more confusing and unpredictable.
Bullish US Economic Report
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There are many bearish horrors in the US economy. The last few major economic ratings were negative, with the Federal Reserve cutting interest rates after recent months of hesitation.
But today, two new reports have emerged, pointing to a positive direction for the US.
The latest unemployment findings from the Labor Bureau suggest that our unemployment fell last week. More importantly, Bea released a report on US GDP in the second quarter of 2025.
It explained a 3.8% increase in GDP growth, a spectacular shift from the first quarter contraction.
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This seems like a very bullish report for the US economy, but investors clearly don’t see it that way. So far, the Nasdaq and the S&P 500 have posted minor recessions today.
The crypto market has been worsening, with almost all major tokens falling over the past few hours.
What can explain this phenomenon? Unfortunately, it can be very disturbing. As a Harvard Economist Bloomberg Analysts similarly discussed this bullish US economic data.
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The commentators themselves did not address these concerns, but the street response was intense.
The official definition of an economic recession is two consecutive quarters of GDP growth. In other words, if BEA reports that the US economy had contracted in the second quarter of 2025, it would formally announce a recession.
President Trump recently fired another director for posting negative data, which could have had a calm effect.
Savvy crypto traders are already beginning to ignore the US economic reports generated under the Trump administration. This may help explain why the token market is declining.
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Certainly, Crypto is assumed to be a safe haven during a recession, so this data is not at all reassuring, but at least there is a consistent story.
However, if both the Nasdaq and the S&P 500 are falling, this could suggest that the Tradfi market is also becoming skeptical. To be clear, neither of these indices plummeted. Both recorded losses of less than 1%.
Nevertheless, it is very concerning whether a recession will occur after such positive economic data.
In the future, this US GDP report could indicate a new period of chaotic disparagement in the market. In the case of good and bad, these studies usually affect investors, but today’s impact is virtually incomprehensible.
Once Crypto and Tradfi institutions begin to ignore this data completely, it will be much more difficult to predict healthy investment options.