The year 2025 delivered quite the ride for traditional markets. While major indexes dipped in the final trading session, the annual scorecard tells a different story—solid gains overall for those who held steady through the chaos.

Two forces shaped the entire year: Trump's tariff policies created constant uncertainty, making every FOMC decision feel like a coin flip. Investors couldn't decide whether to price in trade war escalation or bet on a deal. That volatility was relentless.

Meanwhile, AI stocks became the narrative everyone chased. From semiconductor plays to software platforms, anything with an AI angle attracted massive capital flows. It was almost euphoric at times—the sector's momentum was hard to fight.

The combination meant a whipsaw environment. Broad market strength, but with sharp drawdowns whenever tariff headlines shifted. Still, buy-and-hold investors who looked past the noise ended the year comfortably ahead.

For crypto traders watching traditional finance, the lesson is clear: macro conditions matter just as much as on-chain metrics. When Wall Street reprices risk, liquidity in digital assets follows. 2025 proved that markets are more connected than they seem.