This Is The Main Reason Why Janet Yellen's Speech Makes The Crypto Market Turbulent! - Kakiforex.com - Financial Market Media No. 1 in the World This Is The Main Reason Why Janet Yellen's Speech Makes The Crypto Market Turbulent! This Is The Main Reason Why Janet Yellen's Speech Makes The Crypto Market Turbulent!

May 6, 2021

This Is The Main Reason Why Janet Yellen's Speech Makes The Crypto Market Turbulent!

 Janet Yellen’s comments earlier this morning have changed the course of market movements when US Treasury Secretary Janet Yellen told that interest rates need to be raised to ensure the economy doesn’t ‘overheat’.


His statement could be interpreted as an indication that the Joe Biden administration is likely to raise interest rates as a way to bail out the economy after an imbalance caused by measures to curb the spread of the Covid-19 pandemic.


Following the statement, the stock market index was already affected by risky sentiment, lowering and driving the surge in US bond yields as well as the greenback dollar. At the same time, the crypto market is also facing pressure.



Among those sending the crypto market into the red sea was Yellen’s statement explaining that they were considering reallocating some investments and changing some policies, adding that interest rates could soon rise.


In general, when interest rates rise, investment in fixed income products becomes more attractive. In addition, many prefer mainstream investments.


The crypto market fell from nearly $ 2.3 trillion to $ 2.1 trillion in two hours. After a bit of a recovery, it is now in the $ 2.2 trillion zone.