TL;DR
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Between ~7am and ~3:30pm ET on Wednesday, Bitcoin jumped from about $40.9k to $42.7k, adding a cool $36B to its market cap.
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Around 2pm, J-Powell announced that the Fed would not be increasing interest rates any further at this time.
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When the economy is healthy, investors feel more comfortable taking risks (on things like crypto).
Full Story
If you woke up on Wednesday morning thinking:
“Gee whizz, Bitcoin is way cheaper than it was last week, maybe I’ll buy?”
First up: who says “gee whizz” anymore?
(Have some self respect and say “holy moly” like the rest of us).
Second: if you waited to make your purchase until mid-afternoon – you would’ve gotten a very rude shock.
Because in that time (between ~7am and ~3:30pm ET) Bitcoin jumped from about $40.9k to $42.7k, adding a cool $36B to its market cap.
Now, if you want somewhere to point the blame, we’ve got you!
You can write a strongly worded letter to Jerome Powell, head of the Federal Reserve.
Because at around 2pm, J-Powell announced that the Fed would not be increasing interest rates any further at this time.
Which kick started this little flywheel:
If rates don’t go up → our mortgages/credit repayments don’t go up → which means any disposable income we have can be spent elsewhere → which should (in theory) boost the economy.
And when the economy is healthy, investors feel more comfortable taking risks (on things like crypto).
