{"id":56280,"date":"2026-02-11T08:29:43","date_gmt":"2026-02-11T08:29:43","guid":{"rendered":"https:\/\/crypto-globe.com\/?p=56280"},"modified":"2026-02-11T08:34:12","modified_gmt":"2026-02-11T08:34:12","slug":"bitcoin-without-dependence-on-cheap-money-the-fed-may-no-longer-be-the-main-driver-of-growth","status":"publish","type":"post","link":"https:\/\/crypto-globe.com\/en\/bitcoin-without-dependence-on-cheap-money-the-fed-may-no-longer-be-the-main-driver-of-growth\/","title":{"rendered":"Bitcoin without dependence on cheap money? The Fed may no longer be the main driver of growth"},"content":{"rendered":"\n

In the past, interest rate cuts have been a strong driver of Bitcoin’s growth. However, investment manager Jeff Park points out that another major shift may come in a completely different environment\u2014with rising rates. That is when, according to him, Bitcoin’s role in the global financial system would definitely change.<\/strong><\/p>\n\n\n\n

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The end of a simple equation: lower rates = higher Bitcoin?<\/h2>\n\n\n\n

Jeff Park of ProCap Financial<\/a>, in an interview with investor Anthony Pompliano, said that the market should rethink the long-held assumption that a bull market always goes hand in hand with loose monetary policy. According to him, the relationship between Bitcoin and the Fed’s decisions may gradually change.<\/p>\n\n\n\n

Accommodative policy, i.e., lowering rates and supporting liquidity, has traditionally increased the attractiveness of risky assets. In such an environment, Bitcoin<\/a> benefited from lower bond yields and the weakening purchasing power of fiat currencies. However, this model may not work forever.<\/p>\n\n\n\n

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Growth at higher rates as a major turning point<\/h2>\n\n\n\n

Park calls a situation in which Bitcoin would grow even during monetary policy tightening the “holy grail.” Such a scenario would contradict the logic of quantitative easing (QE) and call into question the significance of the so-called risk-free rate<\/a> as the main reference point for the market.<\/p>\n\n\n\n

If Bitcoin were able to break free from its dependence on cheap money, it could be seen not only as a speculative asset but as an alternative to the existing monetary system<\/a>. For now, however, this is more of a theoretical consideration than a trend confirmed by current market data, such as that from the TradingView platform.<\/p>\n\n\n\n

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In the past, interest rate cuts have been a strong driver of Bitcoin’s growth. However, investment manager Jeff Park points out that another major shift may come in a completely different environment\u2014with rising rates. That is when, according to him, Bitcoin’s role in the global financial system would definitely change. You may also like: MadisonSix: […]<\/p>\n","protected":false},"author":2,"featured_media":56273,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"yasr_overall_rating":0,"yasr_post_is_review":"","yasr_auto_insert_disabled":"","yasr_review_type":"","footnotes":""},"categories":[162],"tags":[99,110,93],"class_list":["post-56280","post","type-post","status-publish","format-standard","has-post-thumbnail","category-crypto","tag-bitcoin-en","tag-crypto","tag-cryptocurrencies"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t