While seemingly enjoying the air above $19,000, bitcoin’s price hasn’t moved much as global economic turmoil continues to unsettle investors.
After September 20thththe top cryptocurrency remained between $18,250 and $20,370, further declining in volatility over the past two weeks. increase. major altcoins remain almost flat.
Aside from the very high inflation and political uncertainty in the UK caused by the untimely resignation of Prime Minister Liz Truss, US investors have also had to deal with anxiety created by the Fed. The WSJ reported that the Fed was considering introducing a 75-basis point hike at its November meeting, “and then discussed whether and how to communicate its plans to approve a modest rate hike in December. It is very likely,” he said.
While the report is largely extrapolated from past statements by Fed Chairman Jeremy Powell and Christopher Waller, some Fed officials have been skeptical because previous rate hikes have not made much progress in fighting inflation. I am in favor of 0.75 points.
Still, the CME FedWatch tool now sees 50% of investors expecting the Fed’s Federal Open Market Committee (FOMC) to raise interest rates by 50 basis points in December, avoiding further economic collapse from excessive tightening. indicates that
Bitcoin on the other hand hardly upset Barring a sharp drop in volatility, experts believe further rate hikes could lead to a sizeable rally.
According to Dan Tapiero, founder and CEO of crypto-focused equity fund 10T Holdings, unlike gold, which is a hedge of assets in the traditional system, “Bitcoin is a guarantee of the future.” That’s what I mean. He warns that Fed policy is keeping a generation of investors away from stocks and bonds.
“The digital asset ecosystem will benefit in the years to come. The moment of transition is right before your eyes. A 5% allocation for Bitcoin and ETH is too small. “ said Tapiero.
Cryptocurrency expert James Rabish also sees the dangers of central banks unanimously adopting a coordinated global monetary policy that seeks to moderate inflation. “How does this work? Without CBDC and full control it wouldn’t be possible’ he lavishly tweeted on Saturday. “opt out.buy a little Bitcoin and protect yourself he advised.
Technically, BTC appears to be firmly entrenched along the $18,250-$19,500 range support, with little momentum beyond the range in either direction. However, this support becomes more fragile as the price continues to take advantage.
At the time of writing, Bitcoin was trading around $19,479 after dropping 0.19% over the past 24 hours. The price has barely tweaked over the past seven days, up just 0.33%.