Despite a rate cut in October, the crypto market failed to show a positive rebound. Analysts say this muted reaction reflects that, beyond interest rates, global risks remain elevated.
Geopolitical tensions, macroeconomic uncertainty, and tightening regulatory frameworks are keeping investors cautious. In Europe, regulators are strengthening oversight of digital assets — a move that’s positive for the industry in the long run, but creates short-term costs and adjustment challenges.
Markets are responding to the combined pressure of monetary policy, regulatory shifts, and global risk sentiment, resulting in high volatility. Experts warn that investors should closely monitor central bank decisions, regulatory developments, geopolitical risks, and liquidity trends to navigate the uncertain environment.