A mix of many triggers, all grim, are converging on crypto and there is no saying what will happen. The outlook for the total global market looks grim, according to analysts. That said, BTC begins another week with geopolitical events taking on a nightmarish cast in Ukraine. Macroeconomic results are changing rapidly in part as retaliation for the invasion of Ukraine. This upheaval is very evident in the crypto market.
Stocks have been hit due to sanctions and their fallout. This is expected to be a guidepost of how BTC/USD will perform. Currently BTC is down and has been characterized by events since the start of the year. What could change things? Here is a list of factors that could change market trends.
The stock market doesn’t appreciate or like hostilities in the European theatre. Global markets for equity dropped close to $3 trillion in overall value. For the short term, the scenario still looks grim.
· New sanctions are on the table and have to be announced against Russia. If they are announced, these will be for the long term and have worse consequences. One of these is a ban on the importing of Russian oil and expected to trigger seismic shifts for every world economy.
· According to Pentoshi, we should expect something equivalent to the Great Depression if stock prices fall further. There is nothing to be bullish if the conflict is not resolved soon.
· Bloomberg’s Mike McGlone, BTC performance indicates that the following week will be rough, especially for risk assets. He compared the Nasdaq and BTC/USD performance and said that it is headed downwards.
· Bitcoin hodlers should expect a bumpy ride for the short term. Skyrocketing commodity prices are not the right ground for fostering bullish sentiment. On Mach 6th, BTC prices edged downward to $37,592, erasing all gains.
· Traders are bracing for interest rate increases and a hit to the consumer price index. This was temporary and now part of the main trend.
As of now, traders and investors are taking a wait and see attitude and plan to ride the wave up or down.