・LTC with a noticeable increase from the second half of August
Due to the relationship between US inflation trends and crypto assets as inflation hedge assets, the crypto asset market and US interest rate trends have generally been correlated since 2020.
Therefore, the US interest rate trend is one of the important parts when considering the whereabouts of crypto assets.
On August 27, the Federal Reserve Board of Governors (FRB) chairman gave a keynote speech at Jackson Hall (August 27 Bloomberg), emphasizing the distinction between “reducing asset purchases” and “raising policy rates.”
In response to this, market participants accepted that they should not hurry to raise interest rates, and it seems that the risk appetite mood has spread again, especially in the stock market.
The Fed’s stance is that inflation concerns are not so strong as to rush to raise interest rates, and there are concerns about negative factors for the crypto asset market from the correlation with past crypto assets.
When I opened the lid, the crypto asset market did not fall sharply after Jackson Hall, and on the contrary, BTC (Bitcoin) got out of conflict on 9/1 and it was about 4 months on 9/7. It has recovered to 5.7 million yen.
After that, probably due to the spot adjustment phase, the crypto asset market as a whole has fallen sharply due to a large stop loss.
It seems that some people said that BTC was a “factual sale” for the implementation of BTC legal tender in El Salvador, probably because the 6 million yen mark was visible.
BTC / JPY is currently trading around 5 million yen, but this time we will focus on the movement of LTC (Litecoin), which is closely related to BTC.
The insights and interpretations of this article are by the author and do not necessarily reflect the views of Cointelegraph.
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