Definition ∞ A Global Macro Shock is a sudden, significant event that substantially impacts the worldwide economy across multiple sectors and regions. Such events can include pandemics, major geopolitical conflicts, or widespread financial crises. They often lead to broad shifts in economic policy and market behavior.
Context ∞ Global macro shocks frequently trigger broad risk-off sentiment across traditional financial markets, directly influencing digital asset valuations. Investors tend to reduce exposure to speculative holdings in favor of perceived safer assets during such periods, making news about global economic events highly relevant to cryptocurrency market analysis.