According to a study by analyst firm Glassnode, bitcoin investors began hedging risks to protect themselves from the Fed’s rate hike in March this year.
Glassnode analysts have reported that crypto investors are de-leveraging and using derivatives markets to hedge risk. This is largely due to “investor uncertainty about the long-term economic impact of a stronger US dollar.”
Investors de-leverage by voluntarily closing futures positions. According to analysts, now interest in futures has decreased from 2% to 1.76% of the cryptocurrency market capitalization, but the researchers are sure that this indicates an emerging trend.
Earlier, Fundstrat co-founder Tom Lee (Tom Lee) expressed the opinion that in the next 10 years, people will lose money invested in bonds against the backdrop of rising base rates. Lee suggests that money will flow into cryptocurrencies.
Recall that recently US Congressman Tom Emmer proposed a bill that would prohibit the Fed from launching a digital dollar directly to individuals due to the threat to their privacy.
Source: Bits
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