Home Markets Analyst PlanB Says Worst Market Expectations Already Priced ⋆ ZyCrypto

Analyst PlanB Says Worst Market Expectations Already Priced ⋆ ZyCrypto

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Analyst PlanB Says Worst Market Expectations Already Priced ⋆ ZyCrypto

Crypto Market Loses Over $100 Billion Ahead of Biden's 'Make or Kill' Executive Order by Next Week

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As inflation hits record highs and global economies struggle with recession and currency devaluation, many investors and market watchers expect financial systems, including stocks and crypto, to falter. collapse in response to these unfavorable macroeconomic conditions. A notable Bitcoin analyst noted that markets are already seeing the worst of these expectations.

PlanB thinks the markets are at their lowest

Bitcoin analyst and creator of the S2F model, PlanB, took to Twitter to make the claim, using an IFO Business Sentiment chart as a guide. He noted that given the path taken by global economies, adverse macroeconomic conditions, such as inflation and recession, are expected.

PlanB referred to this as bad news, stating that as a result market watchers expect financial markets to fall to the lows seen during the 2008 global financial crisis which plunged the value of assets from an initial value of trillions of dollars to near zero; and the pandemic period of 2020 that crippled global production and economies.

However, “the good news,” PlanB said, “that expectation is already priced in.” In conclusion, from the chart, the worst expectations of market watchers appear to be converging with the current market realities that the financial system, including crypto, is experiencing. “That’s why rates are high and stocks/bitcoins are low,” PlanB added.

Crypto Markets Lost Over $1.2 Billion in Market Cap This Year

PlanB’s analysis suggests that markets have bottomed or, at the very least, are near bottom, and investors should expect positive reversals in market situations soon.

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At press time, the entire crypto space has a market capitalization of $962 billion – a significant drop from the $2.3 billion seen at the end of 2021. Crypto winter has been further aggravated by aggressive macroeconomic policies, as governments raise interest rates to combat rising inflation.

Traditional stock markets were not spared either. The S&P 500 has underperformed this year, declining 7% on average since January. Furthermore, the Nasdaq-100 index has fallen 14% since the start of the year. Netflix (NFLX), Coinbase (COIN), and Amazon (AMZN) have seen year-to-date declines of 62%, 75%, and 20%, respectively.

Bitcoin (BTC) and Ethereum (ETH) are down 49% and 53% since the start of the year. While some disagree with PlanB’s claim, a few are convinced that it’s not far from the truth.

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