web3 pfp
web3
@callweb3
Thread: Understanding Quantitative Tightening (QT) & Its Impact on Crypto Markets 🧡 1 🌍 What is Quantitative Tightening (QT)? QT is a central bank policy to reduce money supply in the economy. Think of it as reversing the money printer πŸ–¨οΈβž‘οΈπŸ”₯. Goal? Control inflation & stabilize markets. Less cash = less liquidity. And liquidity = rocket fuel for markets πŸš€. 2 πŸ’Έ Why does QT matter? Less money circulating = fewer funds to pump asset prices. Markets thrive on liquidity. When QT kicks in, that liquidity dries up. No cash? No bull runs. Simple. 3 πŸ“‰ Recent QT news:The Fed just announced they’ll start easing QT in April. Translation: The money faucet isn’t fully on yet, but the drip πŸ’§ is starting. Gradual liquidity incoming. 4 πŸ—“οΈ When does QT end? The market wants QT GONE for a full bull run πŸ‚. Next Fed meeting in May could be the moment. Keep eyes peeled πŸ‘€.
0 reply
0 recast
0 reaction