While many look at the 15-minute charts, the real capital movements are decided in the offices of Washington and Wall Street. The recent dynamics between the United States and Venezuela is not just a political issue; it is a key piece on the global market chessboard that could affect your portfolio. 🌎📉
Here I explain the connection in 3 key points:
1. The Oil Factor and Inflation ⛽
Venezuela has the largest proven oil reserves in the world. Any decision by the U.S. that relaxes licenses or allows greater flow of Venezuelan crude to the Western market (such as through Chevron or European companies) directly impacts global supply.
The Equation: More oil supply = More stable or lower crude prices.
The Impact: The price of energy is the largest component of inflation. If oil prices drop, inflation eases.
2. Wall Street and Debt (Bonds) 🏦
Wall Street has a voracious appetite for "Distressed Assets". Large investment funds monitor any signs of debt restructuring or lifting of secondary sanctions. When institutional capital flows into emerging or recovering markets, global "risk appetite" increases.
3. How does this affect Bitcoin and Cryptos? 🚀
Here is the connection that few see: If the entry of Venezuelan oil helps control energy prices in the U.S., the Federal Reserve (Fed) faces less inflationary pressure.
Less inflation = Lower or stable interest rates.
Low rates = Weaker dollar (DXY) and stronger Bitcoin.
💡 Conclusion
Do not underestimate geopolitical news. A signature on a document about sanctions can move the price of a barrel of crude, which affects inflation, and ultimately decides whether we will see a "Pump" in risk assets like cryptocurrencies.
The economy is interconnected. If Venezuela fully re-enters the global energy market, global liquidity could see interesting changes.
