Here’s Why Crypto Prices Might Be On The Verge of a Massive 100% Pump

As 2023 unfolds, the cryptocurrency market finds itself at a crossroads with crypto prices surging despite an industry besieged by contrasting bull and bear arguments.

With the turbulent financial landscape, the recent bailout of Silicon Valley Bank depositors, and central banks worldwide raising interest rates, one might wonder if a massive crypto pump is on the horizon.

The Bank of England recently raised its benchmark interest rate to 4.25%, the highest since 2008, as a response to rising inflationary pressures.

Similarly, the Federal Reserve hiked interest rates for the ninth time on March 22.

With these monetary policy changes in motion, the potential impact on the delicate banking sector remains uncertain.

Will it stabilize banks at the risk of market uncertainty or aggressively curb inflation, possibly worsening the banking crisis?

UNREAL: Corporate Media reporter RIPS Biden's tanking economy as stock market CRASHES on-screen

"Many are seeing recession. I don’t see a way to avoid it … Is this really a banking crisis? It's a Fed crisis"

pic.twitter.com/vh9YoYwTz8

— Benny Johnson (@bennyjohnson) March 24, 2023

Cryptocurrencies Return As Inflation Hedge

This is where Bitcoin and other cryptocurrencies enter the picture.

Their self-custodied bearer asset nature and independence from central bank decisions make them an enticing alternative.

Furthermore, as the US government’s debt burden swells, Bitcoin offers a hedge against dollar debasement.

An intriguing development to note is the record amounts of gold amassed by central banks worldwide.

This phenomenon may lead to a ‘golden bang’ as countries on the fringes of the financial system embrace private, censorship-resistant assets like Bitcoin.

Several technical indicators support a bullish case for cryptocurrencies, such as Bitcoin’s current cycle resembling previous cycles.

The digital currency has never experienced consecutive calendar years of decline, and the present bear market’s duration and magnitude align with historical averages.

Additionally, Bitcoin’s leverage ratio has decreased, while calendar futures and perpetual swaps reveal heavy hedging for further downside risk.

SEC’s Blunder Could Become Hong Kong’s Triumph

Asia is emerging as a hotbed of digital asset innovation, especially in Hong Kong.

Supported by Beijing, Hong Kong is striving to become the preeminent hub for cryptocurrencies by establishing a comprehensive regulatory framework that piques the interest of crypto firms worldwide.

Retail trading of cryptocurrency assets and regulations for centralized exchanges (CEXs) are anticipated in June 2023, with stablecoin regulations expected the following year.

This growing interest in Asian crypto markets fueled February 2023’s ‘Chinese crypto narrative’, during which Chinese crypto projects like Conflux skyrocketed nearly 1,000%.

$NEO buy set up spot

Its the weekly chart. Hong Kong narrative pump towards June incoming. Patience is needed in this trade. Will hold for 40-60 days for now.

I think Hong Kong coins will be the next hype and might outperform BTC in the next weeks. pic.twitter.com/bquu1mLuhG

— Doctor Profit (@DrProfitCrypto) March 24, 2023

Increased Volatility Could Sent Crypto Prices Surging

While the short-term impact of these interest rate hikes on the crypto market may include increased volatility, the long-term outlook remains uncertain.

The decentralized nature of cryptocurrencies and their potential to serve as alternative financial instruments could continue to drive adoption and demand.

Crypto investors may need to adapt their strategies in light of rising interest rates, closely monitoring global monetary policy changes and considering their implications for the crypto market.

One crucial factor influencing Bitcoin’s vulnerability or resilience to rate hikes is the role of institutional investors. If these investors perceive a higher risk in holding cryptocurrencies due to increasing rates, they may shift their capital to more traditional investments, affecting the prices of Bitcoin and other digital assets.

So the stage is set for a potentially massive crypto pump in 2023, as Bitcoin and the broader cryptocurrency market offer attractive properties as a call option on an alternative financial future with a less pronounced US dollar dominance.

Decentralization, self-custody, and fixed supply make these assets particularly appealing in the face of a tumultuous global financial landscape.