Crypto is Still Macro

Record tightening in financial conditions was one of the main contributors to last year’s dismal year for markets. No surprise then that the recent loosening in financial conditions has given a boost to risk assets, most notably crypto (and the most heavily shorted stocks fwiw). The next FOMC meeting isn’t for another six weeks, so barring a break in script financial conditions may continue to improve (or at least remain “looser”) until then.