US Economy Stumbles: Q1 2025 GDP Dips 0.3% While Bitcoin Barely Blinks
Wall Street’s favorite recession indicator flashes amber as the US economy shrinks for the first time since 2022. Meanwhile, Bitcoin traders yawn through the report—proving once again that crypto markets care more about memecoins than macro.
The 0.3% contraction defies analyst predictions of 0.5% growth, sending Treasury yields into a tailspin. ’Temporary blip or trend reversal?’ Cue the usual chorus of economist copium about ’seasonal adjustments’ and ’inventory drawdowns.’
Fun fact: This marks the first GDP decline since Bitcoin traded at $19K. Now hovering around $63K, BTC’s non-reaction suggests either: 1) Perfect price discovery, or 2) Traders are too busy leverage farming shitcoins to notice. Place your bets.
US GDP (Source: bea.gov)
Trading Economics forecasted 0.5% growth while the general consensus is 0.3%.
Before the release, Bitcoin, oil, and equities dipped slightly while gold ticked up.
As the data was released, Bitcoin fell 0.3% on the news, with S&P 500 futures falling 0.33% and US 10-year Treasury yields rising 0.27%.
Real-time trackers diverged ahead of the release: the Atlanta Fed’s GDPNow model pointed to -2.7% as of April 29, while the New York Fed’s Staff Nowcast stood at 2.6 percent. Consensus has shifted repeatedly as soft manufacturing data offset firmer housing and services prints.
