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58001466 No.58001466 [Reply] [Original]

Why is BTC dumping if inflation came in hot? isnt it a hedge against inflation?

>> No.58001490
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58001490

>>58001466
That was the pre 2022 narrative
Glowies managed to reverse that narrative 2022

>> No.58001499

its dumping because LINK pumped earlier today,
it is unironically stinky linkies fault we are dumping rn because they got to cocky and needed to humbled again

>> No.58001506

BTC is a hedge against inflation, but not against high interest rates.

>> No.58001528

Because if inflation isn't going down, it means interest rates wont get cut.

Interest rate cuts allows more borrowing power, which people use to buy assets with, and if they cannot access such funds, they cannot buy assets (or as many assets) for the time being

>> No.58001563

>dumping
>only down 3%
Crypto markets sure have changed.

>> No.58001566

>>58001466
>inflation came in hot
Need to pay rent and buy groceries. Inflation has made them more expensive. Need to sell crypto to afford these necessities.

>> No.58001584

>>58001528
Yet we got the ath with the highest rates in Bitcoin history
Its all about the narrative

>> No.58001595

>>58001466
More inflation = higher for longer rates = less liquidity in the markets to pump assets.

That's the theory anyway.

>> No.58001648
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58001648

>>58001506
>>58001528
so why did it go from 30 to 73k with high interest rates?
>>58001595
inflation = no incentive to stay on cash = assets go up?
>there is no liquidity left
lmao theres tons

>> No.58001672

>>58001584
high rates are inflationary in the literal sense. the money supply increases more quickly when rates are high. it eventually becomes a game of chicken. the people with functioning braincells are making for the exits (or have already left the theatre)

>> No.58001750
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58001750

>>58001466
This image is still relevant

>> No.58001795

>>58001672
exit where

>> No.58001796

>>58001672
I thought this aswell but apparently the qt with the high interest rates makes it less inflationary then 0% and qe.

>> No.58001834

>>58001795
assets. stock market, gold, and crypto are all pumping from people pulling out of dollars
>>58001796
depends how many dollars get pulled out of the system under high rates. the purpose of high rates is to stop people from spending dollars by paying them in dollars. which causes a rubber band when they pull out with all the dollars they originally had, plus tip

>> No.58001895

>>58001834
lowering rates will pump market even more if no recession

>> No.58001928

>>58001895
correct, especially when it follows a period of high rates. high incentive to seek yield from assets + hugely expanded pile of depreciating cash = pump

>> No.58001949

>>58001834
It depends yeah at some point its just a shitcoin dev giving out apy and begs to not redeem

>> No.58001951

>>58001648
>so why did it go from 30 to 73k with high interest rates?
on the promise that rates will be cut

>> No.58002002

>>58001951
So narrative matters more then the rates, thats what you are saying here. Because promise is narrative.

>> No.58002009
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58002009

>>58001466
Why don't you check on truflation? Oh wait, there is no index for that KEK

>> No.58002045
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58002045

>>58001466
BTC is basically fun gambling stuff. And when there is more money being printed by the fed than the market knows what to do with it, some of it flows into fun gambling stuff.

Higher inflation = higher interest rates in future = less free money printed = less excess money available for fun gambling stuff.

Whoever thinks it's a hedge against anything is an idiot, least of all inflation.