đĄ Many investors are waiting to see when the FED will cut interest rates
Because low interest rates = cheap money, increased liquidity, and asset prices could surge
đ But letâs look back at the past:
- In March 2022, the FED began raising interest rates
- At that time, Bitcoin was around $42,000
- Bitcoin and other risky assets dropped sharply in 2022
đ However, despite the FED continuing to raise interest rates:
- Bitcoin recovered strongly
- And reached a new peak while interest rates remained high
đ After 3 years, Bitcoin surged 167%, surpassing $112,000
đ¤ So the question is:
Was the previous price drop due to rising interest rates? Or was it just part of Bitcoinâs familiar 4-year cycle?
â
The FEDâs interest rates have an impact, but they are not the sole deciding factor
Bitcoin doesnât need low interest rates to grow
đ The most important thing is that the market believes:
- Cheap money will return
- Inflation will continue to erode the dollarâs value
- Investors will always turn to scarce, long-term value assets like Bitcoin
So, whether interest rates rise or fall, Bitcoin can still thrive.
