According to US Commerce Secretary Howard Lutnick, the housing construction slowdown isn't a mystery—elevated interest rates are the culprit.

When borrowing costs stay high, developers hit the brakes on new projects, and buyers hold back on purchasing. It's simple economics: expensive money = fewer people willing to build or buy.

This kind of macroeconomic headwind doesn't just affect real estate. When traditional asset classes face friction, market dynamics shift across the board. Investors tend to recalibrate their portfolios, seek alternative hedges, and reassess risk appetite—dynamics that ripple through digital asset markets too.

The takeaway? Keeping tabs on interest rate movements and their ripple effects on broader economic activity gives you a better sense of where market sentiment might be headed.