Crypto Crash Driven by Macroeconomic Factors, Not a Long-Term Trend, Says Binance CEO
CryptoNewsTerminal Staff05 Aug, 2024
Crypto Crash Driven by Macroeconomic Factors, Not a Long-Term Trend, Says Binance CEO
The recent crash in crypto and stock markets is being driven by macroeconomic factors and does not represent a long-term negative trend, according to Binance CEO Richard Teng. In a tweet, Teng said that the heightened market volatility is likely due to the possibility of a Federal Reserve interest rate hike and geopolitical tensions. "The market is reacting to macroeconomic factors and uncertainty in the traditional markets," Teng said. "This is not a long-term trend for crypto." Teng's comments echo those of other industry experts, who have said that the crypto market is still in its early stages of development and is subject to volatility. "Crypto is a new asset class, and it's still finding its place in the world," said Mati Greenspan, founder of Quantum Economics. "We're seeing a lot of volatility right now, but that's to be expected. In the long term, I believe crypto has a lot of potential."
