How will the crypto market react to tomorrow’s U.S. Fed meeting?
Tomorrow, the U.S. Federal Reserve will say that interest rates will be going up. This is because the interest rate has been raised by 75 basis points over the course of the year. But tomorrow’s rate hike is likely to be smaller than the ones that have come before.
The market is expecting a smaller increase in interest rates because the head of the U.S. Federal Reserve said earlier this year that rate increases would be smaller in December. If tomorrow’s interest rate hike is smaller than the ones that have come before it, the crypto market may get a boost.
If the increase in interest rates is 50 basis points or less, the global financial markets and crypto markets will have a small to medium relief rally. On the other hand, prices will drop even more if the interest rate increase is more than 50 basis points.
Related: The crypto sceptic at CNBC says that XRP, DOGE, and ADA will fall to zero.
According to CoinMarketCap, the price of Bitcoin (BTC), the largest cryptocurrency by market cap, has dropped 1.39 percent in the last 24 hours. At the time of going to press, this brought the price down to $16,945.24.
How will the cryptocurrency market react to tomorrow’s U.S. Federal Reserve meeting? first showed up on Coin Edition.