Wall Street tumbled on weekend trade after Fed Chair Jerome Powell's speech in Jackson
Hole, which signaled that the US central bank would continue to raise interest rates to tame inflation, dashing investors' hopes of a gentler rate hike path.
My question is will this have any impact on cryptocurrency projects
Yes this will have a direct impact. If you watched the markets since the Covid bottom, you would have noticed that they trade side by side pretty much. Both of these markets peaked at pretty much the same time. So if the fed is still going to be raising interest rates, bitcoin and stocks will be sold off since they are risk on assets.
People will be putting their money into safer alternatives. Hence the reason why the markets have been selling off for pretty much entire year. When the inflation is lower, and fed is stopping the hiking, then it means the bottom has happened or its near. And then everything will start to rally again.
It's true that since the world was hit by covid, the cryptocurrency market has seen the price of Bitcoin drop by around 10 percent in 12 hours, Ethereum, the world's second largest cryptocurrency, has fallen 14 percent and some Altcoins have fallen by as much as 20 percent during that period.
So we can only hope that all global worries that have a negative impact on the post-covid stock market and bullish action will improve again. Hopefully we are not fooled by the current conditions, efforts will not betray the results.