Binance CEO Anticipates Inflation To Grow By 500%
2022年7月16日 - 1:00AM
NEWSBTC
The current US inflation data has thrown a great tantrum and panic
within several market sectors. Different expectations and reactions
are surfacing following reports of the inflation data. It seems to
be a fact that even the crypto space now receives impacts from
inflations and other macroeconomic factors. With reports from the
US Bureau of Labor Statistics, different markets are loaded with
diverse opinions. However, according to the released data, there’s
been an increase of 9.1% in the consumer price index since June
last year. This value is more than predictions from some analysts.
Related Reading | A Breakout Above This Level Could Help
Polkadot Recover On Chart However, Binance CEO Changpeng Zhao (CZ)
seems to have a contrary idea concerning the released inflation
data. According to CZ Binance, the 9.1% inflation is a magically
low value concerning some surrounding events. Changpeng Zhao stated
that the USD supply increased by 80%, equivalent to 5 times its
original supply, through more minting of the note. Hence, the
inflation value is expected to amount to about 500%. In CZ’s terms,
such calculation should depend entirely on the rise in money supply
over a given period. Twitterati swiftly offered a corrective
response to Changpeng Zhao’s indications for inflation data. In
further explanation, inflation calculations should consider
different demand and supply factors. Also, it should consider the
money supply remains within a given period. Several Markets Plunge
With High Inflation Data With the release of the inflation data,
Bitcoin experienced a dip in value as it fell below $19,000 in just
a few minutes. Unfortunately, BTC was not alone in its downward
movement. Other conventional stocks such as S&P 500, Nasdaq,
and Dow Jones plummeted with the resulting high inflation data. The
broader crypto market has been tossed about considerably as
inflation keeps increasing with the year. The impacts create
massive instability in the market value through the first half of
2022. Subsequently, the market plunged by over 70% since the
beginning of the year, with several threats of insolvency to many
firms. Before it announced the inflation data, predictions from
market consensus expected 8.8% for June’s CPI. The predicted value
was 0.3% lower than the US Bureau of Labor Statistics report. More
prominent personalities in the crypto space have also been reacting
to the high inflation rate. These include Michael Saylor, Tyler and
Cameron Winklevoss. In their opinion, the high value has advanced
the current situation of BTC and even the broader crypto adoption.
As the inflation rate flag red alerts, it indicates a sharp rise in
interest rates by the Federal Reserve. Such a trend is a big minus
for the entire cryptocurrency ecosystem. Related Reading
| Avalanche Notches Solid Mid-Week Bounce – Can AVAX Sustain
The Positive Noise? Bitcoin fared very poorly with an increase in
lending rates. Its poor performance brought the crypto market low
as well. Featured image from Flickr, chart from Tradingview.com
Polkadot (COIN:DOTUSD)
過去 株価チャート
から 3 2024 まで 4 2024
Polkadot (COIN:DOTUSD)
過去 株価チャート
から 4 2023 まで 4 2024