Cointelegraph analyst and writer Marcel Pechman explains how a potential looming recession might be causing Bitcoin’s price to rise.
SOURCE-https://cointelegraph.com/news/a-recession-is-coming-here-s-how-it-s-fueling-bitcoin
MY OPINION -
Over the past year, it's been interesting to hear people repeatedly predict an impending recession, despite the fact that many countries are already experiencing economic meltdowns. Even the US has had negative GDP for two consecutive quarters.
While some believe that we're at the start of a bull run, I'm not convinced. The recent spike in BTC prices may have been driven by fears of bank runs and USD devaluation, but a sustained bull run requires confidence, not fear. Additionally, there's a pattern in the crypto market where price increases in larger coins trickle down to smaller ones. Unless this is a true bull market, I don't see where continued momentum will come from once the hype wave subsides. So, it's best not to get carried away with FOMO and instead exercise caution by holding back some investment and setting limit orders in case the recessionary trend continues.
Posted Using LeoFinance Beta