How do interest rates affect the value of BTC?

1 answers

• simpanssiJul 29, 2021 · 4 years ago
  At BYDFi, we believe that interest rates can have a significant impact on the value of Bitcoin. When interest rates rise, it can lead to a decrease in the demand for Bitcoin as investors may prefer to invest in traditional assets that offer higher returns. Conversely, when interest rates are low, investors may be more inclined to invest in Bitcoin as it offers the potential for higher returns. However, it's important to remember that Bitcoin's value is also influenced by various other factors such as market sentiment and technological advancements. Therefore, while interest rates can play a role in shaping Bitcoin's value, they should be considered alongside other factors.
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