Back in 2009, when Satoshi Nakamoto had introduced the first crypto asset Bitcoin to the world, his intention was to create a peer to peer networking that will negate any third party involvement. With the rise in adoption of the crypto assets, and the crypto market cap surpassing the $1 trillion mark within a little more than a decade’s time has got the investors thinking more on the probability of the asset’s future contribution.
Bitcoin, amid the various ongoing macroeconomic scenarios, has grown a whole of 6% over the past week. According to Messari data, the BTC Price was recently up about 3% in value over the past 24 hours and roughly 6% within the past seven days. This rise in BTC price was partly due to it being able to regain the $19,000 level on Wednesday intraday as the industry watchers pondered anew whether the largest crypto asset would become a go-to asset of choice in the times of high inflation for the investors.
Based on the current scenario, Sheraz Ahmed, managing partner at STORM Partner said, “Following the philosophy of buying when there’s blood in the streets and the common saying of being greedy when everyone around you is fearful, we might be at the opportune time to start slowly placing capital.”
MarketWatch: Is Bitcoin an inflation hedge? @saylor: If you are interested in Bitcoin, you take the money you want to hold for the next decade and …you’re either buying a block in Manhattan, or you’re buying art, or you’re buying Bitcoin. It’s a long… pic.twitter.com/r3BIRyWN4N
— Cash Flow with JVH (@CashFlowJVH) September 21, 2022
This ongoing scenario of the macroeconomic environment in today’s time has had an increasingly significant influence on the crypto market, given the events taking place in the current, bearish-sentiment-filled market cycle of the crypto space. According to the CoinDesk news, BTC’s latest rebound Wednesday was followed by the Bank of England’s announcement earlier in the same day that it would be buying bonds after the government’s tax-cut plan, which has triggered a massive sell-off.
Other than that, the recent FED announcement of an increase in tax rate hikes has been very heavily influential for the crypto asset to have a growth of its own. Defiance ETFs CEO Sylvia Jablonski commented that “I think that crypto is just following the same trend as the market and it’s just pure risk-off appetite because of the current volatility and uncertainty,”
Amid the behavioral pattern of Bitcoin and the traditional market, one of the other biggest crypto assets by Market cap, Ethereum has also shown good resistance to inflation, after the completion of the Ethereum Merge, which successfully took place on 15 September 2022. Ethereum Price (ETH) rebounded above its $1,300 levels on Wednesday, which is up 1.1% in the past 24 hours and a whopping 6.9% in the past seven days.
Additional Read: Bitcoin Price below $19000