While 2022 may have been a bad year for stocks, it’s been absolutely atrocious for cryptocurrency.
Stocks are on a big losing streak this year, with the S&P 500 on course to close the year with a 17% loss. The picture is even grimmer for Bitcoin and other leading cryptocurrencies.
As of writing, BTC is down 64% on the year and ETH is down 66%. Going further out on the risk curve, most other major altcoins are down more than 90%.
Remember when inflation was transitory and the Federal Reserve was holding rates at zero? What a difference a year makes. In January 2022, Ethereum (ETH) was worth more than $5,150 ($3,800 USD) and Bitcoin (BTC) was $65,113.20 ($48,000 USD)—and the Fed’s war on inflation is the main reason both leading coins are down so sharply.
But not only. The last 12 months have been strewn with crypto meltdowns, bankruptcies and chaos, so the losses should not be surprising to anyone. Now the question is whether all this market chaos will continue in 2023, and how long the crypto winter might last. #BTC #Analytics #TradingUpdate