$BTC #Altcoins
Why Is the Altcoin Rally Delayed? The Answer Isn’t Global It’s Hidden in #USM2
Why hasn’t the altcoin rally started yet? BTC is rallying, but not like it used to. Everyone is looking at Global M2 except me. From the beginning, I’ve said the key is USM2. Is USM2 expanding? Yes but Real USM2 isn’t expanding as much as needed. The Fed’s monetary policies, especially liquidity abundance, have a major impact on the crypto markets. While the faucet being wide open in 2020–2021 fueled the rally, today’s tightening policies are making it harder for altcoins to gain momentum. In the 2020–2021 rally, the Fed opened all the taps. In the current macroeconomic environment, the Fed has not loosened. The financial center of the world is the U.S., and it’s the U.S. that drives BTC rallies. BTC influencers are still relying on outdated data, looking at Google engagement and so on. But it’s companies and ETFs that are triggering BTC’s rally now. For altcoins to rally, monetary expansion is needed and for that, the Fed must loosen. In short, if the Fed loosens, that could be a trigger but for now, it’s not loosening, and that’s why the rally hasn’t started.