Decoupled and De-Rated:
The May CPI and PPI reports put inflation back in the driver's seat, and last week's jobs report forced markets to reprice the macro setup.
The market is now pricing in a >50% chance of a rate hike this year.
While equities can withstand higher inflation with strong earnings, crypto has no equivalent catalyst to lean on.
Firmer rate pressure, a stronger dollar, and reduced appetite for speculative duration are all weighing on bitcoin: Since May 1st, spot BTC ETFs have experienced nearly $4 billion of outflows.
In the short term, inflation, labor resilience, and the possibility of rate hikes are likely to keep macro firmly in control of crypto price action.
Markets pricing in a >50% chance of a rate hike by year-end
@CryptoBTC_Chris Couldn’t be more right about that bro. A plummet like we saw a couple of hours ago is something that makes me smile. All those liquidations and we can sit back and relax. Scoop up the panic and get rich. Trade the waves of the weak. Whales can be thanked 🤟
@JRNYcrypto Hey man, if you made some money I’m the last person to be salty about it. But this shit does not deserve anywhere near top 10. Literal zero use-case. Hype coin nothing more IMO. No hate, just facts. 🤟📈😃
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