RE: Monetary Policy and implications to FX markets

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Monetary Policy and implications to FX markets

in cryptocurrency •  7 years ago  (edited)

Seems like you're jumping around a bit with your analysis on the nexus between monetary policy and FX markets, as well as monetary policy and crypto markets. It's not clear here how FX and crypto markets are correlated . But I like the overall theme. Stick with it.

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The point I was making was that, we seem to be in a low rate environment, we have most of the central banks which are dovish with the exception of US. US will also turn neutral so that should be good news for Crypto currencies as I expect the funds to flow more towards higher yielding crypto currencies with this latest development. We live in an era where the markets are extremely globalized and we have seen this in play where some of the action from central banks has led to huge spikes in crypto (E.g. the demonetization by the Indian Goverment or the hyper inflation cases where people started buying crypto as a hedge)