Two major crypto influencers say that “things can always get worse” as Bitcoin plunged below $19,000 overnight
IT engineer Billy Marcus, who co-founded the original meme coin DOGE with Jackson Palmer in 2013 as a parody on bitcoin, took to Twitter to summarize recent developments in the world and the crypto industry, saying that “things can always be bad,” followed sarcastically by a thumbs-up emoji. That statement provoked a reaction from centbillionaire Elon Musk.
Things getting worse for Bitcoin, and not only Bitcoin
On Wednesday, the Federal Reserve raised the interest rate by 75 basis points, as was expected by multiple market experts, along with the expansion of the European conflict.
Following the news, major digital currency bitcoin declined below the $19,000 level to form a low of $18,293. So far, BTC has managed to recover and is exchanging hands at $19,113 after reaching $19,220 earlier today.
Citing the Federal Reserve report, Chinese crypto journalist and blogger Colin Wu wrote that “inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and broader price pressures.”
The Fed has been raising interest rates regularly since May this year, putting additional pressure on riskier assets, including bitcoin.
Here’s when BTC will start surging: Novogratz
Head of Galaxy Digital fund and former Goldman Sachs fund manager Mike Novogratz recently stated in an interview that Bitcoin will start finally going up once the Fed shifts its policy from hawkish and goes back to monetary easing.
After trading at similar levels in July, bitcoin managed to reach the $24,000 level in August and the $24,588 peak in the first half of September.