Crypto

Karan Sharma, COO, Zelta Tech Positions Crypto as Bullish Amid “Crypto Winter”

The cryptocurrency market saw a drastic drop in market capitalization from $3 trillion to $947 billion. When looking at the market, market reports look bad for the next two years for cryptocurrencies. Finally, the Fed held a two-day meeting. They decided to increase the interest rate by 75 bps, affecting the cryptocurrency market. On the contrary, the big adopters of real estate and stocks seemed to be moving their money into crypto.

Karan Sharma while talking about the same, “The bear market and rising interest rates are a boon for the crypto industry. Crypto is one of the industries where money comes from because it is a growth asset. Seeing people become optimistic in the industry, although the market showed minor dips, trusting people with the skyrocketing market cap.”

“On the contrary, if we see that the market was shocked by the new dot chart released by the Fed, where they are trending up to 4% from 3.25% at the end of the year. The Fed aims to raise the interest by 100/125 BPS according to market opinion. But first the Fed clears the fog and makes it clear that they are in no condition to make such a move. And as far as I know, it there was only an 18% chance of such an event happening, Karan Sharma added.

With the rise in BPS, the market was bullish, where XRP was bullish with gains of 29%, followed by Ether, Cardano, Doge and Solana with a price increase of 7% and more. When we look at the global cryptocurrency market capitalization, it stood at $953.6 billion, with a 5% increase in the last 24 hours.

Amid the rise in interest rates, the new dot chart values ​​have risen significantly. By 2023, the Fed is clearly showing that rates could rise by 1%, indicating that the Fed is still aggressive towards the market. As the Fed is more likely to raise interest rates, this may be bad news for equities and real estate, but the cryptocurrency industry might not suffer as heavily as stocks and equities. immovable.

During the same period, the Fed announces that the United States will enter a recession in 2023, which created a situation of panic in the market. When looking at the past, market players have suffered but also potentially dealt with the situation. But now the storyline is entirely new. The Fed also aims to lower interest rates from 2023 and bring inflation down to 2.50 over the long term.

Karan Sharma said: “Seeing the United States go into recession is the only open opportunity for people to invest in cryptocurrency. Interest in investing in cryptos as a yield-generating asset will surely increase. investments made by each individual by at least 7%, but those who miss the opportunity will exacerbate their investments in stocks or real estate.”

“At the moment the market is very volatile. The vendors are on vacation. Meanwhile, buyers are trying to push the market higher. when the sellers take charge and we will see the market collapse to make lows,” Karan Sharma continued.

The market is uncertain at the moment and the Fed is aggressively following and collecting money from the market. The major lower lows have yet to be reached, but the moment they do, it will open the doors for investors to settle for nothing less than crypto.

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