Broad Crypto Market Update 9

Not much has changed in the markets since the monumental collapse of Terra Luna, with Bitcoin trading in the range of $28k-$31k the past week. With all signs from the Fed pointing towards the tightening schedule proceeding as planned, less “cheap” cash will likely be available to invest into risk assets. One broad economic indicator that came into today was housing starts 16% less than the prior month. While this is seemingly unrelated to crypto, this shows that people are already beginning tighten their finances. However, whether or not a global recession is in the near futures is still uncertain. If a total economic downturn occurs, we may see some clear deviations from past price action in crypto, with Bitcoin potentially plunging below its previous cycle high. Operating under the assumption of neutral to positive market conditions in the coming years, we’ll likely see Bitcoin bottom out around $19k, which is coincidentally the next Fibonacci level down. How long this bear market will last is completely unknown, but with growing adoption and lower barriers to entry, we could see crypto rebound sooner than expected. As always, NFA and please DYOR