TheoTrade co-founder Don Kaufman appeared on CoinDesk TV to discuss the headwinds facing crypto. Implied volatility has fallen quite considerably, said Don, and there’s been a bit of decoupling between Bitcoin and the NASDAQ, a situation he expects to reverse in the near future.
Another concern is the huge “cost of carry” built into Bitcoin, meaning the debt load of crypto companies, especially the miners, in a rising interest rate environment. Don reiterated that despite this mini rally he expects Bitcoin to drop further, possibly into the teens, to achieve capitulation.
See the full segment here.