More importantly, the macroeconomic environment on those occasions differed from today’s high inflation, high-interest rate climate. Back then, M2 money supply of major central banks – U.S. Federal Reserve, European Central Bank, Bank of Japan and People’s Bank of China – grew rapidly, as CoinDesk reported last year. Interest rates were stuck at or below zero in the advanced world, which catalyzed risk-taking across the financial market, including cryptocurrencies.
Source: https://www.coindesk.com/markets/2024/04/17/goldman-cautions-against-extrapolating-previous-bitcoin-halving-cycles-for-price-predictions/?utm_medium=referral&utm_source=rss&utm_campaign=headlines