NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Bullish On Bitcoin And Crypto: Why A Major Recession Crash Is Not Coming

Jake Simmons
Jake Simmons
1 year ago
4 mins read
Bitcoin crypto recession

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

In the world of financial markets, Bitcoin and crypto, fear and uncertainty often dominate the headlines. Over the past few months, there has been growing speculation about an impending recession and the possibility of a major crash in risk assets. Theses such as Bitcoin will rise to $40,000 and then crash are currently in abundance.

While the majority of analysts expect a recessionary crash, with the timing being hotly disputed, macro analyst Alex Krueger presents a compelling case for why such fears may be unfounded. In his research report, Krüger debunks prevalent bearish theses and sheds light on why he remains bullish on risk assets, including Bitcoin and cryptocurrencies.

1/ A recession is imminent, risk assets are expensive, and stocks always bottom during deleveraging driven recessions.

Is a major crash inevitable?

Not at all

In this research report we explore how prevalent bearish theses are flawed and why we are bullish on risk assets. pic.twitter.com/6b456Pvz2l

— Alex Krüger (@krugermacro) July 3, 2023

Debunking Bearish Theses For Risk Assets Like Bitcoin

According to Krüger, the upcoming recession, if any, has been one of the most widely anticipated in history. This anticipation has led to market participants and economic actors preparing themselves, thereby reducing the probability and potential magnitude of the recession. As Krüger astutely points out, “What truly matters is not if data comes in positive or negative, but if data comes in better or worse than what is priced in.”

Related Reading

Bitcoin dominance altcoin season

Why Bitcoin Dominance Hints At A Surprise Altcoin Season Ahead

1 year ago

One flawed notion often associated with recessions is the belief that risk assets must bottom out when a recession occurs. Krüger highlights the limited sample size of US recessions and provides a counterexample from Germany, where the DAX has reached all-time highs despite the country being in a recession. This serves as a reminder that the relationship between recessions and risk assets is not as straightforward as some might assume.

Valuations, another key aspect of market analysis, can be subjective and dependent on various factors. The analyst emphasizes that biases in data and timeframe selection can significantly impact valuations. While some metrics might suggest overvaluation, Krüger suggests looking closer at fair pricing indicators, such as the forward price-to-earnings ratio for the S&P 500 ex FAANG. By taking a nuanced approach, investors can gain a more accurate understanding of the market landscape.

Furthermore, the emergence of artificial intelligence (AI) presents a revolutionary opportunity. Krüger highlights the ongoing AI revolution, comparing it to the transformative power of the internet and industrial revolution. He notes that AI has the potential to replace a significant portion of current employment and boost productivity growth, ultimately driving global GDP higher. Krüger says, “Is an AI bubble forming? Likely so, and it is just getting started!”

Related Reading

Bitcoin Whale Shark

Bitcoin Sharks & Whales Show Strong Buying, Rally To Continue In July?

1 year ago

Addressing concerns over liquidity, Krüger challenges the belief that liquidity alone drives risk asset prices. He argues that positioning, rates, growth, valuations, and expectations collectively play a more significant role. While the refilling of the Treasury General Account (TGA) has been currently viewed by a few analysts as a potential headwind for Bitcoin and crypto, Krüger points out that historical evidence suggests the TGA’s impact on the market has been minimal. He argues:

The TGA is known to be decorrelated from risk assets for very long periods of time. In fact, the four largest TGA rebuilds over the last two decades have had a minimal impact on the market.

SPDR S&P 500 ETF Trust vs. TGA
SPDR S&P 500 ETF Trust vs. TGA | Source: Twitter @krugermacro

The Best Is Yet To Come

Considering the monetary policy landscape, Krüger notes that the tightening cycle by the US Federal Reserve is nearing its end. With the majority of rate hikes already behind us, the potential impact of a few additional hikes is unlikely to cause a significant shift. Krüger reassures investors that the Fed’s tightening cycle is nearly 90% complete, thus reducing the perceived risk of a crash in risk assets.

Positioning is another factor that Krüger highlights as being cash-heavy, as indicated by record-high money market funds and institutional holdings. This suggests that a significant portion of market participants have adopted a cautious approach, which could serve as a buffer against any potential downside. Krüger states:

According to the ICI, money market funds hit a record $5.4 trillion, while institutions hold $3.4 trillion as of June 28th, roughly 2% above the prior highest level on record, which happened in May 2020, the darkest point of the pandemic.

All in all, Krüger’s analysis provides a refreshing perspective amidst a wave of bearish sentiment. While market conditions remain unpredictable, Krüger concludes:

Everyone is bearish. But the recession has been front-run, AI revolution is real, the Fed is almost done, and the market is cash heavy. We see no reason for changing our bullish stance, which we’ve held for all of 2023. The trend is your friend. And the trend is up.

At press time, the Bitcoin price was up 1.2% in the last 24 hours, trading at $31,050.

Bitcoin price
Bitcoin price hovers below yearly high, 2- hour chart | Source: BTCUSD on TradingView.com
Featured image from iStock, chart from TradingView.com
Tweet123Share196ShareSend
Jake Simmons
Jake Simmons

Jake Simmons

Jake Simmons, a dedicated crypto journalist, has been passionate about Bitcoin since 2016 when he first learned about it. Through his extensive work with NewsBTC.com and Bitcoinist.com, Jake has become a trusted voice in the crypto community, guiding newcomers and seasoned enthusiasts alike towards a deeper understanding of this dynamic field.

Read more

His mission is simple yet profound: to demystify Bitcoin and cryptocurrencies and make them accessible to everyone.
With a professional career in the Bitcoin and crypto scene that began right after graduating with a degree in Information Systems in 2017, Jake has immersed himself in the industry. Jake joined the NewsBTC Group in late 2022. His educational background provides him with the technical prowess and analytical skills necessary to dissect complex topics and present them in an understandable format. Whether you are a casual reader curious about Bitcoin or an investor seeking to navigate the latest market trends, Jake’s insights offer valuable perspectives that bridge the gap between complex technology and everyday usage.

Jake is not just a reporter on technological trends; he is a firm believer in the transformative potential of Bitcoin over traditional fiat currencies. To him, the current financial system is on the brink of chaos, propelled by unchecked government actions and flawed Keynesian economic policies. Drawing from the principles of the Austrian school of economics, Jake views Bitcoin not merely as a digital asset but as a crucial step towards rectifying a failing monetary system. His libertarian views reinforce his stance that just as the church was separated from the state, so too should money be freed from governmental control.

For Jake, Bitcoin represents more than just an investment; it's a peaceful revolution. He envisions a future where Bitcoin fosters a sustainable and responsible financial framework for generations to come. His advocacy is not about opposition but about evolution, about laying the groundwork for a system that prioritizes transparency and equity over secrecy and inequality.

As a journalist, Jake’s articles are crafted with the precision of a scholar and the passion of a true believer. He provides not only news but also thoughtful analysis that connects the dots between daily developments and larger economic theories. His work is a beacon for those lost in the technical jargon often associated with crypto discussions, illuminating the practical implications and benefits of these technologies.

In summary, Jake Simmons is not just reporting on a revolution; he wants to be part of it, fully committed to enhancing public understanding and adoption of Bitcoin and cryptocurrencies. His work is more than just a collection of articles; it’s a resource, a guide, and a companion for anyone ready to explore the potential of this digital frontier. Whether you are taking your first steps into crypto or are a veteran looking to stay on top of the latest trends, Jake’s insights provide clarity and foresight in an often unpredictable industry. Join him on this journey to reshape the world of finance, one post at a time.

You can engage with his latest takes on Twitter: @realJakeSimmons.

Close

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Ethereum

Dormant Ethereum Wallet Awakens After 10 Years With Millions Worth Of ETH

Ethereum has been consolidating around the $2,500 price level over the past few days, showing little momentum in either direction....

Scott Matherson 10 hours ago
XRP

If Patience Had Value, XRP Holders Would Own The Market—Expert

In a recent market twist, XRP surged almost 600% between November 2024 and January 2025. Based on latest data, that...

Christian Encila 11 hours ago

Solaxy Presale Burns Red Hot as Whales Snatch $495K in Two Days: Best Presale Ends Tomorrow

With Solaxy ($SOLX) nearing the end of its presale stage, both anticipation for its listing and urgency among investors to...

Aaron Walker 12 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Bitcoin Price Bounces Back

Bitcoin Price Bounces Back: Bulls Eye New Upside Leg

Aayush Jindal 1 hour ago
Shiba Inu

Shiba Inu Burn Explodes 3,194%: Can It Change The SHIB Price Trajectory?

Scott Matherson 7 hours ago
Bitcoin

Amid Bitcoin Hype, Seasoned Trader Predicts Sudden Drop To This Level

Christian Encila 8 hours ago

Premium Sponsors

Top Brands

Press Releases

  • アルトコイン急騰前に注目すべきアナリスト推奨の3銘柄

    ...

    13 hours ago
  • ミームコイン注目のプリセール|取引ボットで100万ドル達成、熱狂的トレーダーが殺到

    ...

    14 hours ago
  • Solaxyに注目集まる仮想通貨プレセール、クジラが2日で約50万ドルを投資

    ...

    15 hours ago
  • 仮想通貨おすすめ|今注目の5銘柄で大きな利益を狙う

    ...

    15 hours ago
  • 新しい仮想通貨が約5,000万ドル調達目前|ホエール投資家が9万ドルを購入

    ...

    16 hours ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.