March 26, 2023
Cryptocurrencies, monetary policies, and Coronavirus
Hot Forex Review

Cryptocurrencies, monetary policies, and Coronavirus

While Asia’s largest economy is struggling with a record-high jump in daily COVID-19 cases, the EU’s Food Safety Agency warns about the worst bird flu crisis ever, and the persistence of the virus over the summer has raised the risk of widespread infections next season.

Various risks enter from every side

It is not what we would like to hear during the Thanksgiving holiday, but it is what it is! I should remember that Crypto markets were mostly stable during last week and this week so far, and the sell-off after high-risk sentiment seems like halted. Political tensions in US and UK are over, but aftershocks of FTX bankruptcy continue such as Crypto Bank Silvergate, which has seen its stock price plummet this month. The most important blow from FTX’s bankruptcy, was the fall of the undermined confidence in the crypto industry, giving rise to concerns of a cascading crypto crisis.

Also, China is struggling with a record-high jump in daily COVID-19 cases, which saw the reintroduction of strict curbs in several major cities. On the other hand, the European bird flu crisis also seems like a serious risk for the next months. As market risks increase, risky assets’ demand decrease.

Anyway, Bitcoin prices fluctuating around the $16,000 level since November 13. Under the current level, support can be found at $15,500, and breaching under that can send the prices around 14,000. On the flip side, in an uptrend recovery, resistance may be encountered at $18,150, and then, the psychological level of $20,000 can open the doors for higher levels.

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