I was making $$ in conventional markets, then that started to roll back. Now my crypto portfolio is rising again. Too early to say for sure, but I was wondering if anyone thinks hot money is rotating back to crypto.
I would say its simple for BTC since all it has to do is close above 41.5K, but I think it will be linked to the revival of the inflation trade. I doubt its a coincidence that since the 10yr yields broke down along with the USD rising has to led to a deflation trade. If you use TLT as a proxy for the bond market it gave a buy signal on 4/15/2021 which is almost exactly the top of the BTC chart which topped around 4/13 or 4/14. Of course ETH kept going higher for a few more weeks I assume on the NFT fumes. I doubt cryptos will rally in a risk-off mode. It should be back as soon the rates start to rise again.