🔥🔥🔥ATTENTION:
💥These are the 5 issues you need to pay ATTENTION to as an INVESTOR.
👉Affects both the STOCK market and #Bitcoin and the #crypto market:
1- The FEDERAL RESERVE
🔹The CENTRAL BANK of the U.S. has the ABILITY to RAISE and LOWER dollars and credit by manipulating the interest rate.
🔹Additionally, it can STIMULATE the ECONOMY with other tools, such as QE (asset purchases by the FED).
🔹Dollars and economic credits + economic stimuli = POSITIVE for financial markets.
2- TARIFFS and the TRADE WAR
🔹Trump's tariffs have the potential to generate a GLOBAL RECESSION.
🔹ANNOUNCEMENTS of AGREEMENTS between countries are considered something POSITIVE by investors.
🔹On the contrary, the DETERIORATION of the situation is something NEGATIVE.
3- Japan and its LIQUIDITY
🔹Japan FLOODED the system with liquidity (yen). Investors borrowed money at practically FREE rates for years.
🔹It is estimated that the amount requested in yen reached about $20T.
🔹If Japan's interest rate and/or bond yields increase, it is considered a WITHDRAWAL of liquidity from the system (I have a post on my account where I explain it in depth).
4- TREASURY BOND REBUYING
🔹The FED does not seem determined to REBUY ASSETS in the market (QE).
🔹Bessent stated that, in the face of liquidity problems, they might go out to repurchase BONDS if the FED does not.
🔹This would act similarly to a QE and would be POSITIVE for the market.
5- STRATEGIC RESERVES of #Bitcoin
🔹That countries start to BUY $BTC could be one of the most bullish things we have seen so far.
🔹CEO of #Binance: In fact, we have received several proposals from some governments and sovereign wealth funds regarding the establishment of their own cryptocurrency reserves