Today, we’re diving into one of the most real and practical advice about crypto investing during recession 2025. The advice in this blog comes from a detailed chat with investing expert Anthony Pompliano (aka Pomp), where he shared his take on Bitcoin, altcoins, the economy, tariffs, and what to do if you’re investing right now.
1. Recession and the Stock Market Crash: What’s Going On?
Let’s first set the scene. In 2025, we’re in the middle of a recession. The stock market has fallen by 10%, and people are panicking. But the big idea here is – this drop didn’t come out of nowhere. It’s a result of new economic policies, especially tariffs signed by Donald Trump under something called the “Liberation Day Executive Order.”
These policies weren’t made to boost the stock market. Instead, they’re focused on protecting the American economy. So, the market going down is not a mistake—it’s actually what was expected. Investors who understand this aren’t shocked. They’re adjusting.
2. How Tariffs Affect Crypto
One common question is – do tariffs hurt crypto? The answer is not really. Tariffs mostly affect physical products, not software like Bitcoin or Ethereum. But there’s still an indirect effect. When people feel uncertain about the economy, they hold onto their money. That impacts the stock market and crypto too.
So, Bitcoin hasn’t dropped because of tariffs directly. It’s down because investors are nervous. But even with that, Bitcoin is still trading in the $80,000 range (as of the conversation), which is higher than it was before Trump got elected. That’s why long-term Bitcoin holders aren’t too worried.
Read More On Crypto Market Crash Due To US Tariffs
3. Should You Panic or Stay Calm?
Pomp’s biggest advice is simple: stay calm and stick to your plan. If you’re a short-term trader, you’re probably having a bad time right now. But if you’re a long-term investor, these dips are chances to buy more. He says just keep dollar-cost averaging (DCA) into strong assets like Bitcoin.
If Bitcoin dropped 30% after the first 10% stock market fall, and the market falls another 10%, it might drop again. But even then, it wouldn’t be as low as people fear. Historically, Bitcoin bounces back stronger.
4. Worst-Case vs Best-Case for Bitcoin
Worst-case? Pomp says technically Bitcoin could go to zero, but the chance is like 0.00001%. Realistically, maybe it drops to $50,000 in an extreme case. But the number of people holding Bitcoin and refusing to sell is higher than ever. That keeps the price from falling too far.
Best-case? Other countries back off their tariffs. The U.S. starts booming with jobs and manufacturing. Stock and crypto prices come roaring back. In this case, Bitcoin could hit all-time highs again by the end of 2025.
5. Tariffs, Inflation, and the Economy
A lot of people say tariffs will raise prices and hurt regular people. Pomp disagrees. He says tariffs are actually deflationary (they reduce prices) in the long run. Why? Because when imported goods get expensive, people either buy local products or companies like Walmart pressure suppliers to absorb the extra cost.
He gave an example from 2018. Tariffs were put on steel, washing machines, and solar panels. And guess what? Prices for all three went down within 18 months. So, it’s not always true that tariffs make everything expensive.
6. What About the Fed and Interest Rates?
Pomp believes the Federal Reserve (Fed) is behind on cutting rates. Inflation is already low (around 1.38% according to TrueInflation), and with tariffs coming in, it could go even lower. That’s why he thinks rate cuts should happen soon to support the economy.
So far, the market is expecting three rate cuts in 2025. We’ll have to wait and see.
7. Is Bitcoin Still Worth Buying in 2025?
A lot of new people feel like they’ve missed the boat on Bitcoin because it’s already big. But Pomp says that’s the wrong way to think. Just because something is big doesn’t mean it can’t grow more. Real estate and stocks are huge too, but people still invest in them.
Bitcoin might not grow 70% every year like it did before. But even if it grows at 30%, it could beat almost every traditional asset. That’s why he still believes it’s one of the best bets out there.
His advice? If you have money to invest, ask yourself—can I beat Bitcoin’s returns somewhere else? If not, just buy and hold Bitcoin.
8. What About Altcoins? Ethereum, Solana, and Others
Pomp says most of his crypto portfolio is in Bitcoin and Solana. He sold his Ethereum earlier and moved to Solana because developers were moving there, and it had better performance.
He doesn’t go deep into small altcoins anymore. Why? Because he’s not trying to beat the top crypto traders. He just wants to beat traditional investors. For that, Bitcoin and Solana are enough.
He sees Bitcoin as a long-term hold and Solana as more of a tradeable asset that he might not hold forever.
9. Will There Be Another Altcoin Season?
Altcoin season is that time when smaller coins suddenly go up a lot because people want higher returns than Bitcoin. Pomp says it could happen again, but only if the market gets really excited and risky again (what he calls “frothy”).
If that hype doesn’t come, Bitcoin will probably keep dominating. But if there’s a lot of risk-taking, yes, we could see altcoins booming for a few months.
10. Top 3 Assets for 2025 (According to Pomp)
If you’re wondering where to put your money in 2025, here’s what Pomp thinks:
- Bitcoin – Still the king of crypto, especially for long-term holders.
- Gold – For people who believe in sound money principles.
- AI companies – Especially private ones, because AI is the future, and these businesses are all about doing more with less.
Final Thoughts: Keep It Simple
Pomp ends with one key message: don’t overthink. Don’t try to time the bottom. If you see assets you like going down in price, start buying slowly. Keep buying during the down times, and when prices recover, you’ll be glad you did.
Just stay focused, avoid panic, and know why you’re investing. Whether it’s Bitcoin, gold, or AI – the key is to stay patient and smart.
