Well-known cryptocurrency analyst Cred recently reviewed the cryptocurrency markets. According to him, several factors influence the risk asset markets. Cred also talks about the price of Bitcoin (BTC). Here are the conclusions from his analysis of the current state of the crypto sector.
The Impact of Central Banks on Risky Asset Markets
According to Creed, the global economy was hit first by the COVID-19 pandemic. Then there was an increase in inflation. The Fed and most central banks have tried to contain the latter by increasing interest rates. This has affected the crypto market. Meanwhile, the US dollar is rising in value, outpacing all other fiat currencies. Cred believes that all these factors have influenced the BTC price correction.
The analyst added that these different conditions are extremely unique. So there is very little chance of this happening again in the coming years. According to him, thisthe sequence of events itself is so unfathomable that realistically we could only have one in our lifetimeHowever, he admitted that there will often be corrections in the crypto markets.
Additionally, Cred believes that investors should take advantage of the current Bitcoin (BTC) price to buy the leading crypto. According to him, at $20,000 BTC is a possibility as long as you can take some downside. He suggested that investors will only regret their purchase if their tolerance for volatility is low.
It must be said that the latest data suggests a future uptrend in the Bitcoin (BTC) market. Indeed, the amount of BTC held on crypto exchanges has dropped significantly in four years. On September 30, BTC worth $700 million was withdrawn from exchanges.
For renowned crypto analyst Cred, investors will be happy, in the long run, to have bought Bitcoin (BTC) at $20,000. Indeed, the price of the leading crypto is expected to rise soon. Cred is also very eager to see other cryptocurrencies rise in price.
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Far from dampening my enthusiasm, a failed cryptocurrency investment in 2017 only increased my enthusiasm. So I decided to research and understand the blockchain and its many applications and to impart with my pen information related to this ecosystem.