How are risky assets like#Bitcoinand#Cryptoaffected?
✅️ Optimism in the markets:
The lower probability of recession and the increase in GDP growth may push investors towards high-risk assets, such as #digital_currencies, in search of higher returns.
✅️ The impact of inflation and interest rate cuts:
The reduction of interest rates and the return of inflation enhance liquidity in the markets, which may stimulate the rise in the prices of digital assets.
⛔️ Fears of raising interest rates again:
If the Federal Reserve decides to raise interest rates again to curb inflation, this may negatively affect the performance of #digital_currencies, as they are affected by monetary tightening policies.
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