The American macroeconomic perspectives are once again stifling the bullish momentum of crypto.
Wednesday morning economic data showed that US Q1 2025 GDP Contracted by 0.3%, defying market expectations of an expansion of 0.3%. This marks reading the lowest and most negative GDP since T2 2022.
To worsen things, personal consumption expenses in the first quarter (PCE) increased by 1.8%compared to 1.2%expectations, while the Core PCE increased to 3.5%, well above forecasts.
Low growth and high inflation have aroused fears of stagflation, sending lower actions and crypto. Meanwhile, the Kalshi and Polymarket prediction markets are prices in high recession ratings for 2025 – 74% and 70%, respectively.
The price of Bitcoin fell to $ 93,000 – dangerously below the support of $ 93,500 before today's monthly fence. However, he has since bounced up to $ 94,000.
Despite the weakness of the altcoins, the experts ask the investors who are away from buying the decline, citing global liquidity in bankruptcy.
Why should investors sidelined should buy the decline?
The American GDP data on Wednesday morning aroused fears of recession in the American economy – another negative GDP print in the second quarter would meet the criteria of a technical recession.
The chances of a recession in 2025 increased to 74% on Kalshi and 70% on Polymarket.
However, intelligent money investors do not panic. The chef Macro economist in Swissblock, Henrik ZebergAffirms that crypto and actions are still due to a rally of “high decline”.
He stresses that American GDP data has been negatively impacted by heavy imports of American companies in preparation for Trump prices and do not precisely represent the country's growth trajectory.
In addition, the threat of growth in growth could cause a dominant pivot of the American federal reserve, which would be long -term risk assets. THE CME FedwatchWho represents the feeling of interest rate traders, is already prices in four rate drops in 2025.
If it is unlikely that the Fed will achieve its reference rate at the FOMC meeting next week, President Jerome Powell could adopt a dominant tone to pacify the market.
Smart money investors are not also excessively reacting to Wednesday inflation data. While T1 T1 data lacked the brand, the market's basic PCE came out of 2.6%, in accordance with market expectations.
In the meantime, Rugging Always suggest that real American inflation is much lower than the 2% target of the Fed, current reading showing 1.57%.
Instead of excessively reacting to short -term fluctuations, cryptographic investors should zoom in. Global liquidity – as measured by the global money supply of M2 – is currently at its level of all time and tends to increase. Discover the macroeconomics Raoul PalThe world M2 graph below.
Historically, this indicator has shown an extremely strong correlation with the trajectory of bitcoin prices. If the trend continues, BTC heads around $ 140,000, which would probably open the way for new heights of all time in Altcoins.
Best cryptos to buy now
Bitcoin remains an attractive investment, especially if its correlation with the world M2 continues.
However, investors should also pay attention to the most efficient altcoins. For example, Fartcoin is back to challenge the broader uncertainty of the market. Currently, a merchant at $ 1.14, he is ready for another $ 1.20 resistance test. An above escape could open the way to a rally at $ 2.
Another opportunity for investors to buy high -level altcoins like SU, Virtuals protocol, Bittenseur and Dogwifhat. However, they should manage for the possibility of another drawback in the coming days.
Prévente assets are also in great demand, since they are available at a fixed price and are not affected by the wider prospects of the market.
For example, Mind of Pepe (Spirit) sees a wave of whale purchase before launching an AI agent on May 10.
Although the AI agents market is saturated on Solana, it has enormous potential in the Ethereum ecosystem. The presale of the mind has already raised more than $ 8.5 million in a short time.
Given the high demand for AI parts, several analysts call it the next Crypto 100x.
Visit the spirit of the presale of Pepe
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