What impact do forex interest rates have on the cryptocurrency market?

1 answers

• Dec 28, 2021 · 3 years ago
  At BYDFi, we believe that forex interest rates can indirectly impact the cryptocurrency market. When interest rates rise, it can lead to a stronger fiat currency, which may result in a decrease in the relative value of cryptocurrencies. Conversely, when interest rates fall, it can weaken the fiat currency and potentially increase the relative value of cryptocurrencies. However, it's important to note that the cryptocurrency market is highly volatile and influenced by a wide range of factors. Therefore, while forex interest rates can have an impact, they are just one piece of the puzzle in understanding cryptocurrency market dynamics.
  641321