Liquidity is pretty tight right now because of high interest rates and stricter monetary policies. The last cycle was wild because the government pumped $5 trillion into the economy through stimulus packages.
Think about it: People were stuck at home, scrolling online on their phones, and suddenly saw crypto or dog coins going up. Of course, they’d gamble that free money, hoping to hit life-changing profits out of COVID desperation. That’s how we ended up with crazy inflation, forcing the FED to jack up interest rates.
Right now, the market’s kinda risk-off, just waiting for the FED to cut rates or hint at some QE without looking too desperate to avoid a recession.
This whole situation just proves that Bitcoin is king. Alts and memes follow wherever Bitcoin goes, and when BTC dips even a little, alts can get wrecked. IMO, if you don’t have at least $10k in Bitcoin yet, I wouldn’t even bother with alts or memes.
submitted by /u/DuckDuckMosss
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