And it completely ignores the bubble that the crypto world created through things like NFTs, whose only value to their owners is the promise that they'll be worth more tomorrow. It's just the digital incarnation of Beanie Babies.
The "everything bubble" which also affected crpyto was created by central banks with the various QE programs and the relentless money printing. Don't blame crypto for creating a bubble.
You can absolutely blame crypto for creating the NFT bubble.
The banks flooded the economy with cash but they didn't tell everyone to start buying NFTs. All of these exchanges, stablecoins and crypto-derivative products were built solely on the self-propagating hype that needed the cheap cash flowing into the system. The banks didn't tell anyone to go buy crypto, the crypto companies did, which effectively tied the performance of the crypto market to the stock market because the average consumer saw crypto as a more enticing speculative investment, not a currency.
If the crypto community was as focused on the fundamentals as you argue, there would be a lot more conversations around not allowing these billion-dollar exchanges creating derivative products with unsustainable rates to capture the market. But they did and the crypto world is where it is today because of it.
The Fed may have cut the trees down, but the crypto community threw them in a pile, doused them in gas and set the whole thing on fire and it wound up burning out of control. How do you blame the Fed for the fire?
