2. Eth 2.0 Merge
Now set for September 19, the Ethereum 2.0 merge seems to be moving forward according to plan after many delays. Lido Protocol, where a lot of Eth is staked, many DeFi protocols on Ethereum and even ETC have been having extremely positive weeks.
Fingers crossed, but I think it's actually happening.
3. The Contagion Seems to Be Almost Over
Again, another knock on wood here, but it seems like the trend of major crypto companies collapsing has collapsed. Investors seem to be coming to grips with Celsius, 3AC, and other collapses. Bankruptcy proceedings have started for Celsius, the 3AC founders were apprehended in Dubai, and there seems to be a light at the end of the tunnel. At least the carnage appears to be over, if not a resolution for those locked out of their funds.
4. Looking Forward
With the US economy slowing down, and expectations for the Fed rates to combat inflation, I believe market players are starting to price in the end of quantitative tightening, whether that comes in 6 months or a year. I do expect the rate hikes to at least slow down to 0.25, if not stop altogether, by the end of Q4 2022 or sometime in Q1 2023.
For investors who are looking at bitcoin and ether as 10-20 year investments, we hope that prices stay a bit down for some time so we can accumulate more. |