Just read that Mike McGlone from Bloomberg Intelligence warns — Bitcoin could drop to $10,000 if US recession risks intensify. That made me think, what exactly is a recession and why does it impact crypto so strongly?

In short: A recession is a period of economic decline when the economy shrinks instead of growing. This usually leads to less investment, including in risky assets like Bitcoin. When investors get nervous, they often sell their crypto positions first.

McGlone suggests that macroeconomic conditions in the US are tense. If a recession actually occurs, it could trigger massive selling pressure on Bitcoin. $10,000 would be a significant drop from the current level.

It's interesting to see how closely Bitcoin is tied to traditional economic indicators. A few years ago, many thought crypto was independent of classic recession risks — that has obviously changed. I will closely watch employment data and Fed signals.