For a large number of respondents, the actions implemented by the FED could have negative effects on the share price of technology companies and major cryptocurrencies. However, analysts point out that this could turn out to be positive in the long a situation where you buy a cryptocurrency with the expectation of selling it at a higher price for profit later. run.
***
- 47% of respondents say cryptocurrencies will be harmed by the actions of the FED.
- Analysts say this could have a beneficial effect.
- FED made adjustments in 2017, and Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. has since risen by more than 300%.
A survey conducted by the research firm MLIV Pulse reveals that tech stocks and cryptocurrencies could be the sectors that suffer the most following the adjustments being made by the US Federal Reserve (FED) at the policy level to rescue the U.S. economy.
As such, the survey considered the opinion of some 687 investors of different levels, and was conducted between May 31st and June 3rd. It presents a very interesting perspective on what participants hypothesize for the future of the different financial sectors.
Investors worried about the crypto sector after the FED
The results of the survey were reported by the news agency Bloomberg, in which 47% of the participants stated precisely that the shares of technology companies and cryptocurrencies were the most vulnerable sectors to the quantitative tightening being implemented by the FED, while 7% of participants said the effects would be more catastrophic on mortgage-backed securities, although these are perceived as less vulnerable to government agency policies.
Among other details, the survey also revealed that while a sector of the participants are concerned about the repercussions on the crypto sector and tech company stocks, there is a significant sector that also believes that the bonds of the Treasury could also be affected by these measures.
And another interesting aspect is that those who traded during the financial crisis of 2008 are pessimistic about the current course of the economy, thinking that the repercussions after the actions of the FED could have a much more negative impact at the global level.
Various readings
Although this seems to be the perceived sentiment the sentiment is the overall mood and attitude of traders and investors in regard to a particular asset or the whole market. among investors, for macro analyst and podcast host Forward Gudance, Jack Farley, these measures may not be bad news for cryptocurrencies.
Al respecto, Farley comentó:
“I don’t think history supports the view that Fed balance sheet reduction is necessarily bad for cryptocurrencies. The last (and only) instance of quantitative tightening by the Fed began in October 2017, and Bitcoin rose 340% since then to its peak in December 2017.”
It should be borne in mind that, while the measures of the FED indirectly limit the amount of capital capital is most commonly defined as the large sum of money you would use to invest. that can be allocated to cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. trading, it is precisely the rising inflationary rates that many point to as the main reason to invest investing is when you put money in a financial scheme with the intent of making a gain. in these assets. The regulator may choose to raise bank interest rates further in the coming months, but it remains to be seen whether this would actually have a positive effect on the local economy and the international fallout.
Let’s keep in mind that while inflationary levels currently exceed 8% and are among the highest in the U.S. economy in recent years, the FED aims to reduce them to 2% with these and other measures between 2022 and 2023.
- US Federal Trade Commission reports more than USD $1 billion lost in crypto scams since 2021
- New York Fed Chairman Says There Will Be Fundamental Change change — a concept relevant to cryptocurrencies that use the UTXO model — is the number of coins sent back to a user after they use their unspent outputs to initiate a transaction. in Money and Payments
- Fed Vice Chairwoman: stablecoins can be a “significant” risk
Source: Blockworks , Bloomberg
Version by Angel Di Matteo / DiarioBitcoin
Imagen de Unsplash
