Have you seen people on the Internet hyping that BTC will quickly rebound to 30,000 during the National Day holiday?
However, the core driver of this forecast is safe-haven funds from the stock market, but whether it will enter on a large scale we are not yet sure.
At present, we still need to pay attention to the economic situation of the United States, which is currently facing four major challenges.
First, the U.S. auto industry has experienced a massive outbreak, crude oil prices have risen, and interest rates have been high. Second, U.S. students have begun taking credit loans, and the government has been shut down for a long time.
Any one of these four factors could influence whether the U.S. raises interest rates at the end of the year, but if they occur simultaneously, the situation becomes more complicated.
Lao Bao has always held a hawkish view. He said in the interview that the U.S. economy is currently in a strong growth stage, which seems to indicate that these factors are unlikely to affect the rapid economic growth. He believes that raising interest rates will not lead to economic growth. However, he also admitted that economic risks arising from these important factors.
In short, regardless of whether a rate hike is confirmed at the end of the year, Lao Bao needs to maintain a hawkish stance, otherwise market sentiment may directly turn the focus to the next interest rate cut target. While such hype may boost the crypto market, it may also increase inflationary pressure, which is not what Mr. Bao expected.
