Why Crypto Markets Are Down?

in cryptodump •  2 years ago 

The simple answer is inflation has been high.
but to understand why keep reading

as the inflation spikes, the fed tries to increase the interest rates making the banks make more money and the banks pay a higher yield of return at the same time making more the percentages to borrow.

this makes lesser money being borrowed and this lead to unemployment and poverty and the stocks crash as money would be moving into banks and not to the market.

in simple words inflation has nothing to do with crypto but its causes have a direct effect on all markets

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