A crypto influencer, Alfonso Peccatiello, expressed his thoughts as regards the recent cryptocurrency rally. He stated that the current crypto rally is not a yardstick for investors to raise their hopes too high. This was revealed following the increase in certain digital currencies such as Bitcoin and Ethereum in the last 24 hours.<\/p>\n
A recent crypto market watch showed a 24-hour price appreciation of Bitcoin of more than 9%. Currently, BTC trades at a price of over $23,000.<\/p>\n
Meanwhile, Ethereum, the second largest digital currency, has also experienced a rise in its price. Its 24 hours price increase got over 13%. Presently, the token trades at a price above $1,600.<\/p>\n
The surge in the prices of these cryptocurrencies followed the Fed\u2019s decision to hike its interest rate by about 75 bps.<\/p>\n
Alfonso\u2019s Thoughts On The Current Rally<\/p>\n
A renowned crypto expert and author of The Macro Compass, Alfonso Peccatiello, gave his thoughts concerning the current crypto rally. According to Peccatiello, the recent digital currency surge should not be a reason for investors to be excited. He stated this, backing it up with an explanation.<\/p>\n
Related Reading:\u00a0Bitcoin Makes Surprise Climb As Fed Discloses 0.75 Point Rate Bump<\/p>\n
Peccatiello first admitted that the speech of the Fed chair, Jerome Powell, triggered the rise in the prices of cryptocurrencies. But, there is a need for his speech to be guided. He added that if his speech lacks a backup, it will be a cause for alarm in the crypto market.<\/p>\n
Furthermore, he uncovered his portfolio, stating that he has little interest in risky assets. One of such risky assets is digital currencies.<\/p>\n
Trigger For Cryptocurrency Rally<\/p>\n
Drawing from Peccatiello\u2019s speech, the increase in the prices of these digital tokens commenced after Powell\u2019s statement. He added that Powell stated a relationship between inflation and neutral interest rates.<\/p>\n
Powell also cited that the Fed\u2019s operations will base more on data. This results from the recent hikes of about 75 basis points.<\/p>\n
According to Peccatiello, the Federal Reserve would be a dreadful zone if it repeats its interest rate hike over time.<\/p>\n
Powell is more careful now that the Fed feels they reached neutral rates: why?<\/p>\n
Because every time the Fed hiked above that (restrictive policy) it ended up breaking something.<\/p>\n
Every single time. pic.twitter.com\/OkQ51xzipB<\/p>\n
\u2014 Alf (@MacroAlf) July 28, 2022<\/p>\n\n
Then, Powell made another statement, which happens to be a good cause for concern. He cited that there is another alarming increase that could be the trigger for the next meeting of the FOMC, scheduled for September.<\/p>\n
Related Reading |\u00a0Why Cardano (ADA) May Breakout In A Bull Run To $1<\/p>\n
His final statement pointed to the fate of digital currencies and their yields. He revealed that there is a need for the Fed to carry out an aggressive tightening. Peccatiello stated that this action is necessary to prevent the decline of actual yields.<\/p>\n
Moreover, with reduced yields comes low performance in the crypto market and other risk-driven assets.<\/p>\n
Cryptocurrency market rebounds firmly | Source: Crypto Total Market Cap on TradingView.com
\nFeatured image from Pexels, chart from TradingView.com<\/p>","protected":false},"excerpt":{"rendered":"
<\/p>\n
A crypto influencer, Alfonso Peccatiello, expressed his thoughts as regards the recent cryptocurrency rally. He stated that the current crypto rally is not a yardstick for investors to raise their hopes too high. This was revealed following the increase in certain digital currencies such as Bitcoin and Ethereum in the last 24 hours.<\/p>\n
A recent crypto market watch showed a 24-hour price appreciation of Bitcoin of more than 9%. Currently, BTC trades at a price of over $23,000.<\/p>\n
Meanwhile, Ethereum, the second largest digital currency, has also experienced a rise in its price. Its 24 hours price increase got over 13%. Presently, the token trades at a price above $1,600.<\/p>\n
The surge in the prices of these cryptocurrencies followed the Fed\u2019s decision to hike its interest rate by about 75 bps.<\/p>\n
Alfonso\u2019s Thoughts On The Current Rally<\/p>\n
A renowned crypto expert and author of The Macro Compass, Alfonso Peccatiello, gave his thoughts concerning the current crypto rally. According to Peccatiello, the recent digital currency surge should not be a reason for investors to be excited. He stated this, backing it up with an explanation.<\/p>\n
Related Reading:\u00a0Bitcoin Makes Surprise Climb As Fed Discloses 0.75 Point Rate Bump<\/p>\n
Peccatiello first admitted that the speech of the Fed chair, Jerome Powell, triggered the rise in the prices of cryptocurrencies. But, there is a need for his speech to be guided. He added that if his speech lacks a backup, it will be a cause for alarm in the crypto market.<\/p>\n
Furthermore, he uncovered his portfolio, stating that he has little interest in risky assets. One of such risky assets is digital currencies.<\/p>\n
Trigger For Cryptocurrency Rally<\/p>\n
Drawing from Peccatiello\u2019s speech, the increase in the prices of these digital tokens commenced after Powell\u2019s statement. He added that Powell stated a relationship between inflation and neutral interest rates.<\/p>\n
Powell also cited that the Fed\u2019s operations will base more on data. This results from the recent hikes of about 75 basis points.<\/p>\n
According to Peccatiello, the Federal Reserve would be a dreadful zone if it repeats its interest rate hike over time.<\/p>\n
Powell is more careful now that the Fed feels they reached neutral rates: why?<\/p>\n
Because every time the Fed hiked above that (restrictive policy) it ended up breaking something.<\/p>\n
Every single time. pic.twitter.com\/OkQ51xzipB<\/p>\n
\u2014 Alf (@MacroAlf) July 28, 2022<\/p>\n
Then, Powell made another statement, which happens to be a good cause for concern. He cited that there is another alarming increase that could be the trigger for the next meeting of the FOMC, scheduled for September.<\/p>\n
Related Reading |\u00a0Why Cardano (ADA) May Breakout In A Bull Run To $1<\/p>\n
His final statement pointed to the fate of digital currencies and their yields. He revealed that there is a need for the Fed to carry out an aggressive tightening. Peccatiello stated that this action is necessary to prevent the decline of actual yields.<\/p>\n
Moreover, with reduced yields comes low performance in the crypto market and other risk-driven assets.<\/p>\n
Cryptocurrency market rebounds firmly | Source: Crypto Total Market Cap on TradingView.com
\nFeatured image from Pexels, chart from TradingView.com<\/p>\n
<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[82],"tags":[],"class_list":["post-4420","post","type-post","status-publish","format-standard","hentry","category-blockchain"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/4420","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/comments?post=4420"}],"version-history":[{"count":0,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/4420\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/media?parent=4420"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/categories?post=4420"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/tags?post=4420"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}