Another Red Daily Close Puts Bitcoin Below $23,000, Is Recovery Expected?

Bitcoin has seen another red daily close after a tremendous rally from last week. This has now wiped off most of the gains made during this time period and has left the digital asset struggling below $23,000 once more. The momentum has quickly died down as the news of the recession settled in. Its viability as an inflation hedge is once more called into question given its performance so far this year. Is Bitcoin Still A Good Bet? Bitcoin being an inflation hedge, has been one of the selling points for the digital asset. This is due to its performance on a year-over-year basis compared to other financial markets over similar time frames. Since these financial markets, such as the stock market, have been unable to keep up with the high inflation rate, investors had naturally flocked to bitcoin as yearly returns trumped the inflation percentages. That is, until a bear market where bitcoin’s performance as an inflation hedge starts to shake. An example is the bear market that is currently being experienced in the market. This decline has seen the digital asset lose about 44% of its value during this time and inflation continues to hit 40-year highs. But on a month-to-month basis, bitcoin has outperformed prominent markets such as the S&P, giving credence to its ability to give reasonable returns even during a bear market. BTC sees another red daily close | Source: BTCUSD on TradingView.com Bitcoin has been up more than 20...