Three Arrows Capital CEO: The Fed will raise interest rates three times in the biggest cryptocurrency push in history in 2017.

Against the backdrop of the US Federal Reserve possibly raising interest rates sooner than expected and shrinking the size of its balance sheet, the report also ) continued to decline, reaching. 3.4 days ago The 22nd low of $69,000 was down more than 50% from all-time highs of $69,000 in November last year.

As Bitcoin continues to decline, many fear that the cryptocurrency market has entered the same bear market as in 2018. However, ZhuSu, founder and CEO of Singapore-based cryptocurrency hedge fund Three Arrows Capital, said said on the 24th that he believed the economic slowdown is similar to the March 2020 pattern. The Fed raised interest rates three times.

ZhuSu said: Compared to 2018, the macro-triggered market downturn is more structurally similar to March 2020 (2018 is a very risky cryptocurrency market downturn). The biggest ever rally in the cryptocurrency market in 2017 was a warning that the Fed had raised prices three times that year.

Interestingly, ZhuSu launched an analysis asking netizens how often they expect the Fed to raise prices in 2017 without reviewing the data first. At the time of this writing, more than 10,000 people had voted, but only 47.9% had responded to the threefold increase. 52.1% of Internet users answered incorrectly.

ZhuSu also denied what Jim Cramer, the host of CNBC's popular financial service "MadMoney," recently said was the influx of money from cryptocurrencies into commodities. .

"I think at best these funds will go to growing FAANG tech stocks and commodities," ZhuSu said. by a Brazilian commodity miner, a Russian or Chinese bank life insurance company is 0. Considering the long-term changes, the real estate market is still expensive for me and housing rarely, but in every OECD countries, there is a major policy. risk (tax rate, customer-seller stamp liability, leverage restrictions, etc.).

In 2017, the Fed raised rates three times and BTC rallied.

In fact, what ZhuSu said is true. Jiang Zhuoer, founder of LBT Mining Pool (BTC.TOP), announced on Twitter on the 12th that he had posted a chart showing the history of Bitcoin and the timing of past inflation by the Fed. In December, Bitcoin rose from less than $1,000 at the start of the year to almost $20,000 by December of the same year.

Jiang Zhuoer said: Regarding the Fed rate hike: From December 17, 2015 to December 14, 2017, the Fed raised inflation a total of seven times. At the same time, after Bitcoin broke above the bull market, it increased 100 times. Why? Since the cryptocurrency market is not interest rate sensitive during bull runs, US Dow stock has risen at an average annual rate of 8%, which is heavily affected by interest rates. of 0.25% or 2.5%, but some cryptocurrencies can easily be seen over 10. Hour. Increase, there is none There are crypto investors taking advantage of the interest rate of 0.25% or 2.5%.

Traders held their breath for the Fed's interest rate meeting this week. According to a previous Reuters poll of 86 analysts, the median guess of analyst estimates was that most analysts expect the Fed to start raising interest rates. In March, all three rates increased this year, plus interest rates by the end of March. year. The need to do. We raised interest rates from 0.75% to 1.00%.