A look at the period 2022-2025. 👌
Throughout 2022, 2023, and 2024, the main factors influencing the movement of financial markets were inflation, economic reports such as employment and unemployment rates, the Consumer Price Index (CPI), as well as the performance of the US Dollar (DXY) and interest rates.
However, in 2025, markets appear to be shifting toward new factors to determine their trajectory. Today, a trade agreement between the United States and China has become the primary focus determining the future of markets. 🤝
Inflation decline:
Current economic indicators point to a significant decline in inflation rates, with commodity and oil prices, as well as 10-year bond yields, declining, reflecting a sharp decline in inflationary pressures.
» Trade Agreement: Password: 🤩
A trade agreement between China and the United States is the key to a revival in financial markets, especially in high-risk sectors such as stocks and cryptocurrencies. If this agreement is reached, we are likely to see a significant surge in markets, potentially reaching new all-time highs.
Time factor: 🧭
It's important to note that timing will have a significant impact on the economy and markets. While there are expectations that an agreement will be reached sooner or later, the duration of the agreement will be crucial.
» Recent developments: 🧨
In an unprecedented move, China today announced it is considering sending its top security official, Wang Xiaohong, to meet with the Trump team as part of trade talks.
» Whale Bets: 💸
Market movements indicate that large investors, or "whales," are anticipating a stock rally. For example, one investor purchased a $184 million call contract on Strategy stock, anticipating an upcoming positive announcement that could significantly impact the price of Bitcoin.
BlackRock also increased bullish bets on Bitcoin, buying $4.5 million worth of call contracts.
Finally:
If an agreement is reached between the United States and China, financial markets, especially cryptocurrencies, are expected to experience significant gains. Do you think cryptocurrencies will return to their previous levels and lead to a new surge? We'd love to hear your thoughts on this topic.
