Global Asset Pricing Mechanisms: Liquidity Drives Crypto Cycles
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Asset Pricing Mechanisms: Global asset pricing relies on dollar liquidity, while local assets are influenced by regional growth and policy constraints, emphasizing the importance of understanding capital flows to aid investors in better asset allocation.
- Liquidity and Risk Appetite: The performance of the crypto market is closely tied to risk appetite, as liquidity expansion does not automatically lead to price increases; investors must focus on whether capital is willing to take risks, which affects market dynamics.
- Practicality of Macro Analysis: Macro economic variables are not isolated in asset allocation; understanding the pricing attributes of different assets helps investors seek relative attractiveness, thereby optimizing investment decisions.
- Market Positioning of Crypto Assets: While crypto assets are viewed as
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
