In recent statements, former U.S. President Donald Trump has expressed deep concerns about the current state of the U.S. economy, issuing warnings of a potential stock market crash worse than that of 1929 and drawing parallels to the Great Depression if he does not secure victory in the upcoming presidential election. Trump, the 45th President of the United States, conveyed these apprehensions on his newly launched social media platform, Truth Social.
Donald Trump warns of the dangers of losing the election
According to Donald Trump, the present economic conditions are dire, and he went so far as to describe them as “terrible.” One significant factor contributing to this bleak assessment, according to Trump, is the pervasive issue of inflation, which he claims has eroded the buying power of consumers by more than 30% over the past three years. Trump underscored that the only thing currently sustaining the economy is the residual impact of the accomplishments during his administration. In Trump’s view, the seemingly high levels of the stock market are primarily attributed to the anticipation and expectation of his potential victory in the 2024 presidential election.
Donald Trump issued a stark warning, suggesting that if he does not emerge victorious, there is a real risk of a stock market crash that could surpass the historic one in 1929, potentially leading to a scenario reminiscent of the Great Depression. Official data from the Bureau of Labor Statistics (BLS) paints a less alarming picture, indicating a 17% increase in prices since President Joe Biden assumed office. However, Trump presented an alternative inflation measure, employing a methodology reminiscent of the 1980s, estimating the figure to be around 30%, effectively doubling the reported rate.
Crypto speculation amidst political drama
Despite Donald Trump’s concerns about the upcoming election and the potential economic fallout, his path to securing the 2024 Republican nomination faces notable obstacles. Ongoing legal battles have left him barred from the primary ballot in certain states, including Colorado and Maine. The Supreme Court is currently expected to rule on the broader question of whether states have the authority to prevent an individual from running for president. This is not the first time Trump has issued dire warnings about potential economic challenges should he fail to secure victory in the 2024 presidential election.
In July, he predicted the onset of an economic depression, and in April, he voiced concerns about a declining U.S. dollar and the perceived proximity to World War III. Donald Trump also emphasized what he sees as a currency war with China, suggesting that the U.S. is losing ground as China actively seeks to challenge the dominance of the USD as the world’s primary currency. Interestingly, some financial analysts and market observers predict that a Trump victory in the 2024 election could have a positive impact on the cryptocurrency market, particularly Bitcoin.
Asset manager Vaneck anticipates a surge in Bitcoin prices to an all-time high if Trump secures victory. John Reed Stark, a former official at the U.S. Securities and Exchange Commission (SEC), even suggested that Trump might alter his anti-crypto stance significantly. Notably, Trump recently entered the non-fungible token (NFT) space by launching his third NFT collection, reportedly selling millions of dollars worth of Ether (ETH) received from NFT sales. Trump’s recent warnings about the U.S. economy, coupled with his concerns about the potential consequences of not winning the 2024 presidential election, contribute to a complex and dynamic narrative at the intersection of politics, economics, and financial markets.