Eastern cultures has their own philosophy to aggregate new perspectives in bad times. The Yin-Yang model of thinking views every death as a chance for a new beginning and new life. They believe that the universe is composed of competing and complementary forces in a constant dialectic collision which oppose each other and at the same time unite in coordination.
This, out of every other philosophical topic, is visible throughout a history in between modernist and conservatives parts in a society.
The introduction helps us highlighting the connection between conventional and modern tools for holding a ”value” in our imagination.
Even without mentioning the anthropological occurence of ‘’money’’ (as main tool of conservatives), we can’t dispute that modernist value tool in our 21th century life, is scripted into a complex system of Blockchain, as technology!
From other hand, if we transform this dialectic collisional frame to economy, we can consider ‘’crypto’’ as a main ruler of a modernist fraction.
Every financial asset, existed throughout the history was a solution for a needs of society.
Blockchain/Crypto is a code based, IT solution in XXI century to a Bretton/Woods economic system from XIX Century, accelerated in modernist and technological typeface.
Mentioning main economical system, we have to align that – despite pretending to be modernist and reformist, we are still properly ruled by a framework of Bretton/Woods economic agreement from 1944 in the terms of economy!
We would risk to be blind for crypto’s recent volatility, if we don’t interpret it properly in synch with this framework.
In this regard, we all know:
– quantitative easing policy of central banks, due to very high inflation rates after COVID-19;
– decrease in cash flow in the market;
– risk of recession based in real economy;
– sharp rise in bond prices of developed countries and the USD;
– complication of credit landing from banks to their clients.
That leaded, all volatile assets (especially tech stocks and crypto) to collapse through months.
For these reasons and it’s own as a most-modernist asset in his fraction, crypto, is the most – victimized asset in that ‘’war’’ of conventionalist system against modernists. Any volatility of crypto in this regard, is mainly related to external factors and it will eclipse, also mainly related to same external factors.
Positive vibes are not necessarily ”with a sink in the hands”.
Sometimes they are, just good stated articles:
- Decreasing the tempo of increasing interest rates of FED (“- Time for moderating the pace of rate increases may come as soon as the December meeting.” J. Powell)
- Bond market points to Fed standing firm in battle against inflation (https://www.ft.com/content/95854259-a3dd-4c65-bd31-bf9d9802c4a1)
- Increasing inflation stats (https://www.washingtonpost.com/business/2022/12/04/inflation-prices-going-down/)
- overvalued dollar and bond assets (https://prosperousamerica.org/is-the-dollar-overvalued-new-treasury-report-says-yes/)
- lack of more undervalued assets in a market for strategical cash flow (https://www.thehindu.com/data/data-over-73-crypto-currency-users-lost-money-smaller-investors-most-affected/article66167781.ece)
- lack of visible recession in real economy and positive development in employment rates (https://www.ft.com/content/85a619b7-105a-44a6-88cf-ac6f89f8d47e)
- Market trend reversal (https://www.asiafinancial.com/investors-bet-on-end-of-dollar-bull-run-eye-asian-currencies) ….
Bewaring to don’t give unnecessary and illegal investment advice, we have to emphasize a possibility for a new, prosperous trend for real bull crypto perspective in 2023!