What the 2024 Rate Cutting Cycle Could Mean For Investors — ft. Lyn Alden | Prof G Markets

Bitcoin Dynamics

Lyn Alden remains long-term bullish on Bitcoin, despite recent price declines. She highlights Bitcoin's unique ability to track global liquidity, outperforming other major asset classes like stocks and gold. This correlation is particularly evident when considering global broad money supply, which Alden defines as dollar-equivalent global liquidity.

Bitcoin tracks global liquidity better than any other major asset class.

--- Lyn Alden

Alden also notes that fiscal dominance has altered the impact of rate hikes, making them less effective in the current economic climate 1 2.

   

Political Impact

Political figures are increasingly influencing Bitcoin's market perception. Lyn Alden points out that while Republican figures like Donald Trump have been vocal supporters, Democratic politicians are also beginning to engage with the crypto space. This bipartisan interest is reflected in a recent study showing minimal political skew among Bitcoin holders.

Bitcoin holders skewed male and younger, but they didn't skew left or right.

--- Lyn Alden

Alden suggests that investors are cautiously optimistic, anticipating that extreme political measures, such as tariffs, will be moderated by congressional forces 3.