ETH -20%, Gold/Copper Up, Stocks Down

Ethereum

ETH -20%, Gold/Copper Up, Stocks Down

• Bitcoin and Ethereum faced sharp declines amid growing global economic uncertainty.
• Commodities like gold and copper outperformed, reflecting a shift to safer assets.
• Global equities tumbled, signaling widespread investor concern over macroeconomic risks.

Global markets saw a distinct “risk-off” rotation in March 2025, with cryptocurrencies and equities retreating as investor fear prompted a flight to perceived safer ground like select commodities and bonds.

Bitcoins decline occurred alongside struggles in broader equity markets, highlighting the impact of increasing global economic uncertainty.

Crypto Slump: Bitcoin Declines, Ethereum Tumbles >20%

While crypto markets faced sharp selloffs, Bitcoin registered a moderate decline in March, falling below its average return over the past year.

Ethereum fared worse, posting the steepest monthly loss among major assets listed in the analysis source (ecoinometrics), tumbling over 20%.

Bitcoin struggled in March but it wasnt alone.

March delivered a classic risk-off environment:

⁃ Gold performed strongly

⁃ Copper rallied on US tariff concerns

⁃ Bitcoin slipped moderately

⁃ Most other major assets underperformed

— ecoinometrics (@ecoinometrics) April 2, 2025

This downturn brought to light the heightened risk sensitivity for digital assets during periods of macroeconomic stressors when there is reduced investor appetite.

Risk-Off Fuels Commodities: Gold, Copper Shine

Conversely, traditional safe-haven gold attracted fresh demand as market fears escalated, delivering strong returns and highlighting defensive positioning. Copper also saw an unexpected rally, potentially driven by tariff-related concerns about supply chains or infrastructure demand.

Crude oil advanced as well, though less than gold or copper, likely reflecting a mix of geopolitical tension and cautious energy demand outlooks.

Bonds Gain Favor; Equities See Broad Declines

Bonds saw slight positive returns, with the long-duration Treasury ETF (TLT) gaining modestly. This movement indicated increased investor preference for safety and capital preservation over chasing yield.

Global stock markets mirrored cryptos downward trend. Major indices like the NASDAQ 100, S&P 500, Nikkei 225, and Eurostoxx 50 all closed lower for March, many performing well below their 12-month average returns and reinforcing the broad-based weakness driven by investor concerns.