21 October 2023: Hey Publish0xers,
It has been a long time since RekTimes last released a market perspective. It is no secret that we have been in the depths of an economic depression here in crypto - but as you will see in this quick post - we have a reason to be optimistic.
Over the past two years, we got to watch what $2 trillion in value disappearing from a market truly looks like. It means dead projects, massive layoffs, and even company shutdowns. Even stocks, especially tech stocks, took a massive nosedive with rising interest rates and slipping post-pandemic business models (looking at you, Netflix). However, it is not all gloom.
Despite prevalent bearish sentiments and talks of recession, there are indicators suggesting a potential bullish resurgence in both crypto and equities. There is a massive push happening right now to bring real-world assets on-chain, possibly in tune to tens of trillions in value. To best break this down, we put together a comprehensive report on this subject and where we feel the market is heading in the near to medium term. For those who don't like long reads, it looks something like this:
Even though economists were swearing up and down that inflation would not be persistent, here we are. Per Truflation, the U.S. has been dealing with nearly 24% inflation since January 2020. The Federal Reserve raising interest rates slowed things down for a time, but growth has been consistent, and commodities have shown signs of running again. As investors shift to find yield, a stabilization of interest rates could be all we need to have both crypto and equities run hard in either late Q4 2023 or H1 2024.
This could be short-lived depending on the corresponding inflation pressures in H1 2024 and if the Federal Reserve will have to evaluate (or even raise) rates again, similar to the economic situation in the 70s and 80s. Nevertheless, with valuations down over 70%+ for many solid cryptos like ETH, LINK, and GRT, there is a pretty substantial value capture here.
I highly encourage you to check out our new report and hope you find the information useful. You can access it below or on our website.
https://rektimes.com/wp-content/uploads/2023/10/REKTIMES-Economic-and-Market-Outlook-Report-2024.pdf
There will be more to come on this subject soon. If you are new to our publication or Publish0x, give us a follow! More regular posts to come.
Thanks for reading!
RekTimes
