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Treasury bills continued to tick up this morning as the market awaits minutes from the Federal Reserve’s March meeting, where the Fed for the first time since 2018 increased its benchmark overnight lending rate, the federal funds rate.
Yesterday, the market sold off after Fed governor Lael Brainard said publicly that the Fed needs to move fast on balance sheet reduction, which would effectively remove liquidity from markets.
The broader crypto market had been rallying last week, and many see Bitcoin as a hedge against inflation, but since last October cryptocurrencies have not fared well amid a hawkish Fed.
While I don’t know if Bitcoin is truly a hedge against inflation, I generally like Bitcoin and Ethereum in the long term.
Furthermore, the network has been in the midst of a massive set of upgrades over the last two years, which are supposed to make the network more scalable and secure.
I’ve never really been a fan of Dogecoin or Shiba Inu because they don’t seem to have any kind of unique competitive advantage among the thousands of cryptocurrencies in existence.