President Trump started something chaotic when he announced the revamped trade rates. These rates suddenly put the world on the path of a major trade war. Stocks, Forex, crypto, and other markets started bleeding red. As a result, billions of dollars’ worth of digital and fiat assets flooded the market(s).
Similarly, the equities market is also showing signs of problems as it is giving off mixed results due to financial upheaval. Even though the war has reached a de-escalation point, the tensions are still high.
As a result, studies show that tokenized gold, such as XAUT by Tether and PAXG by Paxo, is rising in popularity in the Asian subcontinent. Onchain data collected by CoinDesk suggest that XAUT has become one of the top 10 performers in the current landscape.
Is XAUT The Next Big Thing?
Tether’s XAUT is already one of the biggest coins, judging by its market cap. What is interesting is that the token has increased by 3.4% in the last 24 hours. Meanwhile, CoinGecko data suggests that the overall sector is up 4.3%.
Still, the equity market does show signs of latent volatility. Tokyo’s Nikkei 225 showed a decline of 3.5%, Taipei’s TAIEX is up by 1.6%, and Hong Kong’s Hang Seng has declined by 0.2%. Therefore, this has created an ecosystem of duality where anything goes.
Even though some people are happy that XAUT and PAXG are performing quite well, the broader market situation suggests that things are not as safe as people might want. Hence, the question of what is coming next looms menacingly over small and medium-scale traders.
