Donald Trump

President Donald Trump

Crypto and tech stocks saw large selloffs on March 10 as fears of a US recession heightened despite efforts from the White House to temper concerns.&nbsp;
Economists at Wall Street investment bank <a href="https://cointelegraph.com/news/institutional-traders-no-plans-trade-crypto-despite-trump-promises-jpm" rel="noopener noreferrer nofollow" target="null">JPMorgan</a> have raised their recession risk this year to 40%, up from 30% at the beginning of 2025.&nbsp;“We see a material risk that the US falls into recession this year owing to extreme US policies,” wrote the analysts, <a href="https://www.wsj.com/livecoverage/stock-market-today-dow-nasdaq-sp500-03-10-2025/card/is-the-u-s-heading-for-a-recession-here-s-what-the-experts-say-xIKohneDur8BYbqlYLW1" rel="noopener noreferrer nofollow" target="_blank">according</a> to The Wall Street Journal.&nbsp;
Analysts at Goldman Sachs economists also raised their 12-month recession probability to 20%, up from 15%. They said that the forecast could rise further if the Trump administration remains “committed to its policies even in the face of much worse data.”&nbsp;
Meanwhile, Morgan Stanley economists lowered their economic growth forecasts last week and raised inflation expectations. The bank predicted a GDP growth of just 1.5% in 2025, falling to 1.2% in 2026.&nbsp;
It comes despite a key economic adviser to US President Donald Trump pushed back against talks of a recession. Speaking to CNBC on March 10, Kevin Hassett, who heads the National Economic Council, <a href="https://www.cnbc.com/video/2025/03/10/nec-director-kevin-hassett-a-lot-of-reason-to-be-extremely-bullish-about-the-economy-going-forward.html" rel="noopener noreferrer nofollow" target="null">said</a> there were many reasons to be optimistic about the US economy.&nbsp;
“There are a lot of reasons to be extremely bullish about the economy going forward. But for sure, this quarter, there are some blips in the data,” he said.&nbsp;
Meanwhile, in an interview with Fox News on March 9, Donald Trump <a href="https://www.msn.com/en-us/money/markets/stocks-tumble-on-recession-fears-trump-tariff-uncertainty/ar-AA1ADxCE" rel="noopener noreferrer nofollow" target="null">responded</a> to a question about the possibility of a <a href="https://cointelegraph.com/news/bitcoin-price-falls-as-global-recession-and-ai-bubble-fears-send-investors-scrambling" rel="noopener noreferrer nofollow" target="null">recession</a> by saying the US economy was going through “a period of transition.”
Blockchain betting platform Polymarket <a href="https://x.com/Polymarket/status/1899154423764418622" rel="noopener noreferrer nofollow" target="null">quipped</a> that recession odds are “the best looking chart in finance right now.”
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 <img src="https://s3.cointelegraph.com/uploads/2025-03/0195833d-b594-7ccf-bf84-6fa109de2a4d" title="" alt="Investors flee from risk assets as JPMorgan ups recession odds to 40%">
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 Source: Polymarket
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<h2 id="tech-stock-and-crypto-sell-off">Tech stock and crypto sell-off</h2>
The so-called “Trump bump” has dissipated, with the S&amp;P 500 now lower than it was before his Nov. 5 US election victory.&nbsp;
The index has lost almost 10% from last month’s high, and the Nasdaq is already in a correction, having lost 14% in just three weeks.
<figure>
 <img src="https://s3.cointelegraph.com/uploads/2025-03/0195833d-b9b2-7315-bd98-de966c934a72" title="" alt="Investors flee from risk assets as JPMorgan ups recession odds to 40%">
 <figcaption style="text-align: center;">
 The Nasdaq has lost almost 10% this year. Source: <a href="https://www.google.com/finance/quote/.IXIC:INDEXNASDAQ?window=YTD" rel="noopener noreferrer nofollow" target="null">Google Finance</a>&nbsp;
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All US stock markets ended March 10 in the red, with the S&amp;P 500 dropping 2.7% to its lowest level since September, the tech-heavy Nasdaq having its worst day since 2022 in a 4% fall, and the Dow Jones Industrial Average dropping nearly 900 points or roughly 2.1%.
The Magnificent 7 — America’s top tech firms — have had a tumultuous start to the week, collectively shedding more than $750 billion in market cap in one day. Tesla tanked a whopping 15%, becoming the worst-performing stock in the S&amp;P 500 this year.
AI giant Nvidia lost 5.1%, Apple shed 4.9%, Meta fell 4.4% and Alphabet lost 4.5% on the day.&nbsp;
Related: <a href="https://cointelegraph.com/news/biggest-red-weekly-candle-ever-5-things-bitcoin-this-week" rel="noopener noreferrer nofollow" target="null">Biggest red weekly candle ever: 5 things to know in Bitcoin this week</a>
Meanwhile, crypto markets have plunged to their lowest point since early November, with a 7.5% fall in total market capitalization to $2.6 trillion on March 11, with around $240 billion exiting the space.&nbsp;
<figure>
 <img src="https://s3.cointelegraph.com/uploads/2025-03/0195833d-bdc6-7d05-a611-df59ea4adc5f" title="" alt="Investors flee from risk assets as JPMorgan ups recession odds to 40%">
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 Crypto market cap declines 1 month. Source: <a href="https://coinmarketcap.com/charts/" rel="noopener noreferrer" target="null">CoinMarketCap</a>
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Bitcoin (<a href="https://cointelegraph.com/bitcoin-price" rel="noopener noreferrer nofollow" target="null">BTC</a>) has also fallen through previous levels of support, dropping 4% on the day and hitting $76,784 before a minor recovery took the asset back to $79,000 at the time of writing.&nbsp;
Magazine: <a href="https://cointelegraph.com/magazine/bitcoin-odds-new-all-time-highs-june-sam-bankman-fried-bitcoin-reserve-hodlers-digest/" rel="noopener noreferrer nofollow" target="null">Bitcoin’s odds of June highs, SOL’s $485M outflows, and more: Hodler’s Digest</a>

Investors flee from risk assets as JPMorgan ups recession odds to 40%

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