Senior Strategist Warns of Recession’s Impact on Bitcoin and Altcoins

Bloomberg Intelligence’s senior macro strategist Mike McGlone has warned on his personal Twitter account that the biggest risk for the highly volatile Bitcoin (BTC) and altcoins is a recession in the American economy. Recession Warning Reiterated for Both Cryptocurrencies and Stocks Despite Bitcoin being the least worrying asset among cryptocurrencies, McGlone highlighted the unlikely possibility of the US economy averting an economic downturn and entering a recession by the end of the year. The strategist also expects a potential recession to negatively impact the recently robustly recovering stocks. The expected consequence of an approaching recession would be central banks injecting more liquidity into the system, typically helping risky assets stay afloat and lowering interest rates. McGlone bases his forecast on the historical relationship between liquidity and risky assets, drawing attention to the significantly negative liquidity at the end of the first half of the year. He believes this situation might […] The post Senior Strategist Warns of Recession’s Impact on Bitcoin and Altcoins appeared first on COINTURK NEWS.