U.S. Treasury official Bessent cautions against retaliatory tariff measures, calling such moves "extremely unwise." His warning draws a stark parallel to the trade protectionism of the 1930s—when reciprocal tariffs spiraled into economic collapse. The historical comparison underscores a critical concern: tit-for-tat trade barriers can trigger deflationary cycles and market volatility. For crypto investors, geopolitical trade tensions directly impact macro trends, currency valuations, and risk sentiment. When institutional capital flees into uncertain economic terrain, digital assets often experience heightened correlation with traditional markets.