Spain Registers Record Inflation; Good Time to get into Crypto?

Paigambar Mohan Raj
Source: Bitcoinist

The global economic situation is in a slump. Both crypto and traditional markets have taken a beating. The US recorded its highest inflation in decades. And now, Spain has revealed that it too has witnessed inflation of more than 10%. The country has surpassed the 10% mark for the first time since 1985.

The INE statistics indicated that core inflation, which excludes volatile food and energy costs, increased to 5.5% year-over-year from 4.9% a month earlier. This is the highest level recorded since August 1993.

On Wednesday, Economy Minister Nadia Calvino told parliament,

“The news of the last few weeks is not positive … Russia’s gas and oil export cuts are accelerating rising energy prices.”

Russia’s invasion of Ukraine and the strain it has placed on the oil and food markets have pushed inflation numbers. The war also had detrimental effects on the crypto markets.

Good time for Spain to get into crypto?

The CNMV is a body that regulates Spain’s financial markets. It released the findings of its most recent research on crypto. The study was carried out by a company named “Grupo Analisis e Investigacion.” The firm polled 1,500 people and an additional sample of 300 cryptocurrency investors.

According to the results, three out of four Spaniards (75%) have heard of cryptocurrencies. This indicates that they have some level of adoption in the nation. However, the general public’s understanding of the topic is quite restricted. Only 1.4% of those polled claimed to be experts in crypto.

Additionally, only 6.8% of those polled said they have at some time invested in cryptocurrency. Additionally, more than 80% of respondents said they have not invested in cryptocurrencies and do not intend to do so in the future.

Given Spain’s current predicament, it could be a good time to get into crypto. Bitcoin has been the most successful asset in the last decade. Moreover, with the current slump in the crypto markets, it could be the perfect time to buy the dip. However many analysts warn that Bitcoin could in fact go lower in the coming days. Guess we will have to wait and see. A wise person had said, every crash is an opportunity.