You shouldn’t look at the crypto market only from the perspective of charts—raise your gaze and look at the oil market.
This morning, two pieces of news together provide a complete picture: Iran’s oil minister submitted his resignation under pressure from the war between the USA and Iran, and in the Strait of Hormuz area, several explosions occurred again near tankers.
On the one hand, there are internal political changes in an oil-producing country; on the other, there is a real threat to transport routes. Both factors add a premium to the oil price$CL
How is this related to $BTC ? The chain is very simple: rising oil prices lead to entrenching inflation, to the return of expectations of rate hikes, and risk assets suffer together.
This logic has been repeatedly confirmed this year—oil is an invisible hand that weighs on the crypto market.
That’s why I follow the Middle East, not news headlines that may be noisy or may not be. I’m looking to see whether oil prices and the yields on US government bonds are actually changing. And are you tracking oil this week?
This morning, two pieces of news together provide a complete picture: Iran’s oil minister submitted his resignation under pressure from the war between the USA and Iran, and in the Strait of Hormuz area, several explosions occurred again near tankers.
On the one hand, there are internal political changes in an oil-producing country; on the other, there is a real threat to transport routes. Both factors add a premium to the oil price$CL
How is this related to $BTC ? The chain is very simple: rising oil prices lead to entrenching inflation, to the return of expectations of rate hikes, and risk assets suffer together.
This logic has been repeatedly confirmed this year—oil is an invisible hand that weighs on the crypto market.
That’s why I follow the Middle East, not news headlines that may be noisy or may not be. I’m looking to see whether oil prices and the yields on US government bonds are actually changing. And are you tracking oil this week?