Persistent macro headwinds could delay Bitcoin bull market — ARK Invest

2023 has been a whipsaw year for investor sentiment and even though equities markets have defied expectations, a recent

“Stagflation” is usually bearish for risk-on assets

Another bearish development to keep an eye on is “stagflation.” The writers highlight the reversal of the year-long trend of price discounts driven by increased consumer spending. Referencing the Johnson Redbook Index, which encompasses over 80% of the “official” retail sales data compiled by the U.S. Department of Commerce, it becomes clear that total same-store sales rebounded in August for the first time in 12 months, suggesting that inflation may be exerting upward pressure.

The metrics suggest that ongoing macroeconomic uncertainty could continue in the coming months. However, it does not provide a clear answer regarding how cryptocurrency investors might react if this trend confirms lower economic growth and higher inflation – a scenario typically considered highly unfavorable for risk-on assets.

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