Crypto General Economic Overview
Hello guys welcome to the new blog where i will be presenting my views on the recent crypto crash which happened last 5 months. The market was overbought during the pandemic , thus leading to a huge bubble which was going to burst anytime and the trigger was alarmed when the Feds announced that they would be rasing interest interated. For those of you who do not know economics let me give a simple insight. So basically when the pandemc occured the Feds(US Central bank) had to lower down the interest rates as that would encourage the people to borrow more money, which would let people spend thus helping businesses survive and grow. When the interest rates are lowerred,the dollar weakens and thus institutional investors look to invest their money in other asset classes and safe haven currencies( Swiss Franc, Japanese Yen) and that is where crypto was very predominent in terms and investing and the returns which bitcoins and other altcoins gave where amazing. One downside of lowering...