Investing in Real Estate or Crypto: What’s More Reliable?

Real Estate Markets and Instacart’s IPO

On this week’s episode of Macro Markets, Cointelegraph analyst Marcel Pechman discussed the real estate markets, noting that mortgage demand has been stagnant due to rising rates. With an average 30-year fixed-rate mortgage interest rate of 7.27%, refinancing and home purchase applications have dropped significantly. Despite this, Pechman speculated that house prices might rise if crypto inflation continues to grow, as real estate has historically been a reliable store of value.

In the second segment, Pechman discussed Instacart’s initial public offering (IPO), which established its valuation at roughly $10 billion, significantly lower than its $39 billion peak valuation. This reflects the challenges faced by venture capitalists in the current economic climate. Pechman suggested a shift in crypto investor metrics, emphasizing the need for a reliable store of value. He noted that cryptocurrencies such as Bitcoin (BTC) could fill this role, as they can operate as a transparent reserve system for banks and nations, issuing Bitcoin-backed digital assets without requiring a billion users.

For a comprehensive breakdown and in-depth analysis, take a look at the Cointelegraph YouTube channel for the latest crypto alerts and investment opportunities. With crypto adoption on the rise, investors should be aware of the potential inflationary effects of the Federal Reserve’s current policies by May 2022.