The contrasting directions in US policy are creating meaningful headwinds for risk sentiment across markets. When policymakers send mixed signals—supporting growth initiatives on one track while tightening financial conditions on another—it breeds uncertainty that ultimately punishes risk assets like crypto. This policy contradiction makes it harder for investors to price in future returns, leading them to de-risk and gravitate toward safer alternatives. For traders holding positions in Bitcoin, Ethereum, and altcoins, this kind of macro backdrop typically translates into heightened volatility and margin pressure. The lack of policy clarity essentially tips the scales against appetite for high-beta assets, which explains why we're seeing crypto correlate more closely with broader risk-off sentiment during these periods.