Hawkish Fed combined with a geopolitical powder keg, this market is forcing people to become friends of time — or friends of the opposing side.

BlockBeats points out that the market is still affected by rising inflation and the long-term impact of geopolitical conflicts. The Federal Reserve is hawkish; if inflation does not decrease, interest rate hikes may resume, and energy, AI investments, and global supply chain costs could increase inflationary stickiness. Tensions in the Middle East are high, with ongoing U.S. strikes on Iran and sanctions, raising risks to the energy supply chain. The AI/semiconductor boom has boosted related stock prices and costs, but equipment and infrastructure spending have also increased. After Bitcoin fell below $74k, it entered a deleveraging phase, with the $70,000–$78k range creating pressure.