Coinjournal’s Dan Ashmore says many factors are affecting the price of most cryptocurrencies, including inflation and interest rate hikes.
He told CNBC that Bitcoin’s recovery will depend on a number of macro events affecting the market.
Bitcoin and the broader crypto market have lost more than 65% of their value since all-time highs in November 2021.
Bitcoin Recovery Won’t Happen Overnight
Coinjournal cryptocurrency analyst Dan Ashmore said: told CNBC In a recent interview, he said that cryptocurrency price recovery will not happen overnight. Commenting on last year’s price collapse, Ashmore said:
“As we enter 2022, we are at the tail end of one of the longest and most explosive bull runs in recent memory. And the world is haunted by this post-pandemic inflation crisis. We also experienced one of the fastest rate hike cycles in recent memory, which sucked liquidity out of all these risk assets. is not.”
Macro environment plays a role in market recovery
When pressing Bitcoin price was $21,163, down more than 60% from its all-time high. Commenting on a possible price recovery, Ashmore said the macro environment would play a big role in that regard. He said;
“The last month or so has been slightly positive. Still a long way to go, but better than a month or two ago. Still a long way to go back to all-time high of $69,000. This is not something that can be done overnight.”
He added that this rise is dependent on a full range of macro-climatic variables that are going our way. could help boost the market to