Ikigai Asset Management‘s chief investment officer highlighted an important event necessary for cryptocurrencies to potentially initiate a rally.
Koinfinans.com As we reported, co-founder of Ikigai Travis KlingIn an interview on the podcast of Bankless channel, he stated that beyond the US Federal Reserve’s policies that risk putting the economy into recession, the event that must ultimately be resolved for a stable macroeconomic picture is the ongoing conflict between Russia and Ukraine.
“If you can get some kind of credible deal in that area, it will destabilize commodity prices which have already depreciated a lot from the highs but commodity prices are going down, tightening expectations, inflation expectations going down, while stocks and cryptocurrencyThey will move upwards.”
Kling, the leading smart contract platform Ethereum He shared an interesting comment about him. According to Kling, Ether could benefit greatly if geopolitical and financial situations improve.
The hedge fund manager then discussed Bitcoin (BTC) and stated that the best crypto asset by market cap represents more than a hedge against short-term fluctuations in the consumer price index (CPI).
“You will never find me anywhere that says Bitcoin is like a CPI inflation hedge or a monetary inflation hedge. It is a non-sovereign, hard-cover, global, immutable, decentralized digital store of value. I believe it is a safeguard against the irresponsibility of central banks and governments globally.”
Kling’s analysis bitcoinHe concludes by comparing how ‘s response to quantitative expansion (QE) versus quantitative tightening (QT). In QE examples, central banks keep interest rates low and increase the money supply, while QT rates rise and supply contracts.
“Bitcoin loves quantitative easing and hates quantitative tightening. We are currently in a QT cycle, but I have a high degree of confidence that this is very temporary. The market is telling you that this is temporary and closer to finishing than starting.
This goes back to my idea of moving fastest from the bottom. I guess that speaks to the nickname of Paul Tudor Jones as Bitcoin is the fastest horse.”
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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.