Following a somewhat impulsive start to the year, the Bitcoin correction took off again late on Tuesday night. In recent days, the price has dropped as low as 42.500 dollars, putting it at its lowest level since the Weekend-Crash of early December. Two factors have an impact on the course.
On the one hand, the prospect of a faster end to the US Federal Reserve's accommodative monetary policy weighs on the prices of the year's top performers – and hence on Bitcoin. The Protokoll of the previous meeting, which was released this evening, confirms the likelihood of a Leitzins arrest in the United States in the near future. Moreover, several members expressed an interest in starting the reduction of the Notenbank's Bilanzsumme soon after the first Zinserhöhung.
Market participants now fear that the days of cheap money are numbered, and they are putting their money into asset classes that have reaped the benefits in recent years. Aside from (tech-) stocks, cryptocurrencies such as Bitcoin are also included.
Kasachstan's Hash-Rate Chaos
Unrest in Kasachstan as a result of sharply rising energy prices, which has resulted in a landeswide Internet outage in addition to the government's departure, acts as an additional stressor for Bitcoin. The issue: Following China's mining ban, a large number of miners have sought refuge in Kasachstan's hinterland.