De-Dollarization Accelerates as Trump Policies Undermine USD Stability

The US dollar faces mounting pressure as President Trump's policies accelerate de-dollarization trends. Since January, the greenback has plunged to successive lows amid tariff hikes and aggressive rate-cut advocacy. Foreign investors are retreating at pace, with Bloomberg noting the strongest capital outflows since 2016.

"Trump's trade wars and legal strong-arming have shattered confidence," observes Stephen Miller of GSFM. The administration's deliberate dollar weakening to boost manufacturing appears backfiring - allies now hedge exposures while emerging markets explore alternative reserve currencies.

Market dynamics suggest prolonged volatility ahead. As repatriation flows intensify, cryptocurrency markets may benefit from capital seeking non-sovereign stores of value. Bitcoin's monthly trading volumes correlate inversely with DXY movements since Q2 2024.