One of the biggest drivers for crypto prices lately has arguably been the macro environment. In fact, I fail to remember a time where crypto prices have been so correlated with what is happening in the traditional financial markets as now. Following the bloodbath in the first quarter of 2020 where financial markets adjusted (read: nose-dove) to the outlook of a glooming pandemic with decreased economic activity, the crypto markets turned around like a rocket when central banks introduced lower interest rates and other fiscal stimuli. In the current landscape, the central banks are battling high inflation by hiking rates and introducing economic tightening and as a result, crypto is suffering.
Waiting for the Bitcoin Moment
Waiting for the Bitcoin Moment
Waiting for the Bitcoin Moment
One of the biggest drivers for crypto prices lately has arguably been the macro environment. In fact, I fail to remember a time where crypto prices have been so correlated with what is happening in the traditional financial markets as now. Following the bloodbath in the first quarter of 2020 where financial markets adjusted (read: nose-dove) to the outlook of a glooming pandemic with decreased economic activity, the crypto markets turned around like a rocket when central banks introduced lower interest rates and other fiscal stimuli. In the current landscape, the central banks are battling high inflation by hiking rates and introducing economic tightening and as a result, crypto is suffering.