Cryptocurrency is just around the corner - Bitcoin and Ether price rises are due to speculation and miners selling their savings.

Recently, interest in cryptocurrencies by ordinary users and large investors has declined significantly. The number of holders is declining and miners are actively depleting their savings. Analysts point out that some companies are selling more coins than they have made in the last month, which means that not only is interest in cryptocurrencies declining, but so is confidence, which is much more dangerous for the market. It is believed that the coins are being abandoned by those for whom mining has become an unaffordable burden, due to high electricity prices. The situation is bound to get worse and only an increase in the value of major cryptocurrencies can save the market.

A good spoonful for dinner. Take a look at the screenshot below. As you can see, Bitcoin is up 21.5 percent in the last week, while Ether is up almost 50 percent. Experts are not making long-term predictions because the situation is changing very rapidly, which means we could see cryptocurrencies strengthen further as well as suddenly fall. But there are many short-term predictions. If we believe the optimists, we are seeing the arrival of a bullish trend. We have seen this many times before, but today it is different because the market has gotten rid of many speculators and has become "more mature." Because of this, cryptocurrencies will gradually increase in price, adding several thousand each week. This prediction seems unrealistic to us. Speculators are not going anywhere. While six months ago they were trying to make money with Bitcoins, today they have gone back to the traditional stock market, manipulating the price of stocks.

Therefore, we will examine a more realistic scenario. Many of our readers know that the cryptocurrency market is firmly tied to several variables, most of which have to do with the U.S. economy. At first it was thought that this was the virtue of Bitcoin, but today it is becoming clear that the linkage to the dollar was more of a mistake. No one ever said that the creators of cryptocurrencies had alternatives to which to price the currency, but it is clear that the dollar is not at its best. The problem is that the US Federal Reserve went overboard in pumping money into the country, resulting in a $9 trillion issuance that caused short-term economic growth and is now a dead weight on US macroeconomic indicators.

According to official data, U.S. inflation reached 9.1 percent at the end of June, and the figures will continue to rise. As a result, the Federal Reserve is raising interest rates and, at the time of writing, three hikes have been made, bringing the rate to 1.75 percent. Another meeting is scheduled for the end of July at which the interest rate will be raised again. Opinions are divided: the most likely solution is 50-75 points, or 0.5 percent and 0.75 percent. Meanwhile, inflation is rising much faster, so the U.S. regulator may take unpopular measures. Financial analysts say there are good reasons to raise interest rates by 125 points or more in one fell swoop (1.25 percent), but the Fed will not do so. Officials should aim for an inflation rate of no more than 5 percent by the end of the year, which means the lending rate could rise to 4 percent or more in the remaining six months.