Hey, what's up everybody? It's Firoz and today I want to talk to you about what's causing the pump in
#crypto2023 markets. You know I'm a huge fan of crypto and I've been investing in it for a long time. But I'm also not here to bs you or hype you up with some fake news. I'm here to give you the real deal, the truth, and the facts.
So let's get into it.
Crypto markets started rallying on Monday. And I know what you're thinking: "Firoz, why are crypto prices going up when everything else is going down? We have banks collapsing left and right, we have inflation going through the roof, we have regulations coming from every direction. What's going on?"
Well, let me tell you something: Crypto is unpredictable. Crypto is counterintuitive. Crypto is contrarian. Whatever you think is going to happen in crypto...the opposite happens!
That's why I love it so much. Because it challenges me to think differently, to be creative, to be adaptable, to be resilient.
But that doesn't mean there are no reasons behind the price movements. There are always reasons. And I'm going to share with you some of the possible explanations that I've heard from my sources and my network.
#1 The Fed Is Printing Money Like Crazy...And Crypto Loves It
Traders and investors are speculating that the Federal Reserve will either slow or pause rate hikes. After all, the Fed can only increase rates until something breaks. And something did break last week:
#SVB one of the most crypto-friendly banks in the US.
Many crypto people are viewing this as a sign of an impending breakdown in the traditional financial system. And they expect that the Fed will have to step in and inject more money into the economy through quantitative easing.
You know what that means: More money printing equals more inflation equals more demand for hard assets like gold and
#BTC #2 Banks Are Failing Left And Right...And Crypto Is The Safe Haven
Flight of safety from banks. Speaking of SVB, they were not alone in their troubles last week. Three other banks shut down as well: Credit Suisse (which had to borrow $54 billion from the Swiss central bank.
People are starting to lose trust in banks and their ability to protect their money and their data. And they are looking for alternatives that are more secure, more transparent, and more decentralized.
That's where Bitcoin and Ethereum come in handy. They offer a way for people to store their wealth outside of the banking system, without intermediaries or censorship or manipulation.
Remember...this was originally why Bitcoin was created: To provide a peer-to-peer electronic cash system that does not rely on any central authority or institution.
#3 Binance Just Bought A Billion Dollars Worth Of Crypto...And You Can Too
On Monday ,
#CZBinance , one of the most influential people in crypto , announced that
#Binance , one of the largest and most popular exchanges in the world , was converting USD 1 billion BUSD into native crypto , including BTC , ETH , and BNB .
This constitutes a huge buy pressure on these coins . And it also shows confidence and commitment from Binance to support their ecosystem .
These kinds of announcements can act as catalysts for other investors and traders who want to follow suit or ride on the momentum .
But listen . Nobody can explain market behavior with 100% certainty . So don't take these explanations as gospel . Take them with a grain of salt . The point is not to give you definitive answers . The point is
to help you understand how markets work , how psychology works , how emotions work .
That's how you train your mental models . That's how you become a better investor, a better entrepreneur , a better human being .
And that's what I'm here for . To help you level up your game , your skills , your mindset .
So if you enjoyed this artilce, please smash that like button , follow my channel , turn on notifications , leave me a comment below .
And if you want more content like this , my social media accounts . You know where to find me .
I'll see you next time . Peace out .