CEO of Tesla Elon Musk recently pointed to a negative trend in the crypto market. He said that the crypto market may face even more economic troubles in the coming months.
In a recent tweet, Elon Seems to have a “super bad feeling about the economy”. Also, he also plans to cut Tesla’s workforce by 10%.
After Elon, a senior commodity strategist at Bloomberg – Mike McGlone, shared his view on Inflation and Economic Turmoil. In a recent tweet, Mike opined on the largest cryptocurrency Bitcoin is at an inflection point. He has further seen an “emboldened” Federal Reserve as the main headwind for Bitcoin and the broader cryptocurrency market.
At Press time, the Bitcoin price dropped to $29,332 recording the lowest since May 29. The current market sentiment hints that BTC Price will end another week in the same red zone shattering the bearish streak.
As it takes a lot of effort to achieve just the 2% target the Fed is unlikely to reverse its course even if inflation cools off. Loretta Mester, Cleveland Fed President has recommended hiking rates as soon as possible.
In addition, McGlone has also predicted Bitcoin’s price reaching to $100,00 level, in the month of February.
Crypto prices may weaken in response to the recession, whereas the market had already responded very poorly to economic ructions over 2022. As the largest cryptocurrencies, Bitcoin and Ethereum are trading more than 50% below their highs recorded. The loose monetary policy which was driven by 2020 and 2021 has now come to the end.
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Source: https://coinpedia.org/opinion/fed-raising-interest-rate-by-50-bps-in-june/