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Cryptela — Cryptocurrency News and Market Intelligence
Seeking Alpha 2021-02-20 08:16:50

The Fed Is Inadvertently Helping Bitcoin

The Fed is buying TIPS which is suppressing real yields.Low real yields encourage investors to take more risk. That's partially why more investors in February said they are "taking higher risk than normal" than ever before.Bitcoin is far out on the risk curve, which means this low real yield environment could be partially why Bitcoin has done so well.Hence, the Fed's suppression of real yields could be inadvertently helping Bitcoin.
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