Glassnode co-founder Nikantropak stated that it is not fear but uncertainty surrounding stringent measures like rising interest rates in financial markets that impacts the market. He noted that the normalization of policies by Japan’s central bank creates clear expectations for the global financial environment, despite short-term monetary pressures. Nikantropak also observed a significant decline in arbitrage trading of the yen, indicating that opportunities continue to emerge amid current uncertainties. According to him, Bitcoin typically strengthens once policy pressures subside rather than during them. The reduction in market disorder and improvement in signals suggest disproportionate positive risks are developing for Bitcoin. Glassnode is a leading blockchain analytics firm that forecasts cryptocurrency market data and trends. Such analyses are crucial for investors and financial institutions to devise strategies in response to anticipated financial changes. Changes in global interest rates and central bank policies profoundly affect the crypto market due to its connection with the traditional financial system. Looking ahead, if central bank policies remain stable and financial pressures ease, cryptocurrencies including Bitcoin may strengthen; however, sudden shifts in monetary policy and global economic uncertainty could pose risks for investors.
Source: binance
