A weekly section discussing how general events can influence the near-term future of cryptocurrency sector
Global Stock Market Loses $13 Trillion in Four Months
The total market capitalization of global stock market has fallen $13 trillion in last four months, establishing a two-year low. The strong pullback indicates the failure of many government policies that were originally designed to stimulate growths. The growing manipulation in international stocks somewhat points to the need to have decentralized and transparent technologies like Bitcoin and blockchain.
Indian Central Bank Cuts Interest Rates
The president of the Central Bank of India, Mr. Raghuram Rajan, announced a benchmark interest rate cut by a half a percentage point, to 6.75 percent. The decision is speculated have originated from the recent fall in commodity prices. While Indian Rupee has been looking weak in recent times, its identity as one of the largest importers has helped pulling down the overall inflation rate.
No Interest Rate Hike in US This Year
The disappointing report on US employment has increased the chances that interest rates will remain at least until next year. The probability that the Feds will increase the interest rate has dropped to 34% from 46%. The even is likely to help Bitcoin strengthen its value.
Spain Warns Independent Catalonia of Expulsion from Euro Zone
The president of the Bank of Spain warned that if Catalonia were to become independent would be automatically expelled from the euro zone, causing the collapse of its banking system. Bitcoin sector should be prepared to take advantage of this political turmoil.