By Friday, March 10, news of the largest bank failures since 2008 had consumed financial media outlets, and banking indexes plummeted on fears of widespread contagion. The S&P Regional Banking Index lost over 28% in roughly five trading days, and has yet to recover.
While correlations between the stock market and digital assets have always remained in flux, one of the most consistent predictors of crypto prices has been the global money supply. This recent bout of bank insolvency has created a new mandate for central banks to stop the bleeding by printing more cash.
Not surprisingly, this deterministic view of M2=“bitcoin go up” isn’t as simple as it seems, as the Federal Reserve still has to compete with rising inflation, and hot unemployment levels. On March 10 payroll numbers came in above expectations, and just four days later the consumer price index showed a 0.5% increase in inflation. Neither of these figures has helped Chair Jerome Powell fulfill his mandate, but they have put pressure on the Fed to continue raising rates.
A look at the rate hike prediction since March 6 paints a good picture of how rapidly the situation is evolving.
nathanieljcox Ah… not looking like it at the moment…
nathanieljcox Not for Americans with limited exchange options. The ones we have are shit, as proven by their disapproval rating.
nathanieljcox
Nigeria Nigeria Latest News, Nigeria Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: BTCTN - 🏆 531. / 51 Read more »