It is no secret that the global economy has been badly hit since the beginning of the corona pandemic and aggravated by the war between Russia and Ukraine. Step by step we are stumbling into a recession. At the same time, inflation rates are rising incessantly and are well above the central banks’ former targets. In Germany it is just over 10 percent, in the Netherlands over 17 percent and Estonia, Latvia, Lithuania, but also Hungary have already exceeded the 20 percent mark.
The end of quantitative easing
The central banks, above all the US Federal Reserve, have started to counteract this development. In the form of an unprecedented increase in key interest rates. However, at the expense of the economy, which of course fuels the development towards recession. In this scenario, it would be conceivable that Bitcoin would also suffer from the increase in key interest rates. In the case of the ECB, however, the opposite may be the case.
Will the euro interest rate save the Bitcoin course?
Recent history using the example of September 8th shows: if the ECB raises the key interest rate for the euro, the dollar loses and BTC gains. A similar development was observed last Friday, October 21st. In the new episode of the BTC-ECHO Invest Podcast, BTC-ECHO market experts Stefan Lübeck and Jan Heinrich Meyer discuss whether the ECB will give the Bitcoin price another positive boost next Thursday.
Market update on Tesla and Aptos
The two also discuss the blockchain newcomer Aptos, as well as its price increase since the start of trading last Wednesday. The quarterly figures from Tesla, one of the largest Bitcoin holders in the world, are also in focus.