Fed Hikes Could Drive Bitcoin Adoption in Emerging Markets

The Fed tightening is a major risk, particularly for currencies of EMs running current account deficits. The deficit occurs when a country sends more money abroad than it receives, leaving the domestic currency vulnerable to increased borrowing costs elsewhere. Thus, countries running current account deficits, such as Brazil, India and Pakistan, may see strong demand for bitcoin. Author: Omkar Godbole Source link

Traders Prefer Gold, Fiat Safe Havens Over Bitcoin as Russia Goes to War

Dibb added that the combination of war, supply constraints, booming commodity prices and zero rates is a textbook recipe for stagflation. While the crypto community still strongly considers bitcoin as a better store of value, past data shows the cryptocurrency is predominantly a risk-on inflation hedge, meaning it outperforms other assets when investors are willing to take risks. Author: Omkar Godbole Source link

Bitcoin’s ‘MACD’ Indicator Threatens Long Term Bullish Bias as Rate Hike Fears Linger

“The correction is driven by macro factors, specifically expected rate increases and liquidity tightening from the U.S. Fed. The 60d correlation between BTC and the S&P 500 was virtually 0 at the end of 2017 – now, it is over 65%,” Noelle Acheson, head of market insights Genesis Global Trading, said in a LinkedIn post titled “Did You Say Crypto Winter.” Author: Omkar Godbole Source link