Experts claim that Bitcoin (BTC) may have broken the negative tie with global liquidity and central banks in the short term, and even a low interest rate cut may be enough for the next rally.
Rising as a result of the monetary expansion caused by the global Covid-19 epidemic inflation has become a worldwide problem. Central banks in the fight against inflation to interest rate hikes How much longer asset prices can react to interest rate hikes is the subject of debate. While many asset classes, especially equities, react to falling liquidity. Bitcoin no longer cares about liquidity looks like.
Especially after June 2022, the contraction of liquidity is much more than the S&P 500 and its previous reactions. weak a responder bitcoin According to experts may have found the bottom. According to this scenario, each future interest rate hike of Bitcoin will be higher than the previous one. more insensitive response and high interest rate cuts with voluminous rallies expected to be supported.
On the other hand, stock market investors start to make their investment decisions according to liquidity ratios. a self-fulfilling prophecy can link stock performances to inflation. In this case, analysts say that Bitcoin is a reserve asset He thinks he can take on the mission.
