Definition ∞ Macroeconomic dependence describes the extent to which the price movements and overall market trends of digital assets are influenced by broader global economic conditions and policies. This includes factors such as inflation rates, interest rate decisions by central banks, geopolitical events, and traditional market performance. While initially perceived as uncorrelated, cryptocurrencies increasingly exhibit sensitivity to these external economic forces. This relationship highlights the growing integration of digital assets into the global financial system.
Context ∞ Crypto news frequently analyzes macroeconomic dependence when explaining market volatility or predicting future price directions for digital assets. Discussions often compare Bitcoin’s performance to traditional safe-haven assets or equity markets during periods of economic uncertainty. The evolving correlation between crypto and traditional finance remains a significant topic for investors and analysts.
Blockchain Knowledge
Cryptocurrency Foundation
Cryptospace Newsfeed
