Copy link
Increase text size
Decrease text size
Link copied

Anticipation Abounds as Federal Reserve Keeps Rates Steady – Impact on Cryptocurrency Market Awaited

The crypto market awaits the U.S. Federal Reserve's decision on interest rates, with potential impacts on Bitcoin's price and trading environment.

Thu, 21 Sep 2023, 03:48 am UTC

The digital currency world sat in anticipation as the Federal Open Market Committee prepared to reveal its latest interest rate decision. Anticipated by many, the U.S. Federal Reserve seemed likely to keep rates steady. According to data from CME Group’s FedWatch Tool, there was a 99% probability that the rates would remain unchanged.

Financial analyst Tedtalksmacro relayed his perspective to his subscribers, noting that the core CPI inflation is currently aligned with the Federal Reserve’s target when viewed on a three-month annualized basis. He went on to suggest that this might be the inaugural meeting where the Federal Reserve acknowledges that inflation is heading in the desired direction.

Even with these statistics, experts hinted that the forthcoming announcement could bring short-lived turbulence to the market.

Binance, one of the leading global exchanges, presented an interesting landscape for Bitcoin against the US Dollar. Observations from Material Indicators, a monitoring entity, highlighted that liquidity was notably scarce around the present price. Their observation also underscored that "the distribution of liquidity is sparse across the spectrum." This could mean a potential for price fluctuations in the near term.

Another point of interest for traders will be the forthcoming speech and press meet by Jerome Powell, the Federal Reserve Chair. Comments from Material Indicators suggest that this event could induce interesting shifts in Bitcoin prices.

Trading charts displayed bid liquidity for Bitcoin at approximately $26,650. However, substantial bids were predominantly positioned at $25,000. On the flip side, sellers seemed prepared around the $27,450 mark — which was Bitcoin's high for September.

Jelle, a seasoned trader, braced for fluctuations in the Bitcoin market. At the same time, another trader named Skew anticipated an animated trading environment post the Federal Reserve's announcement. In this environment, Crypto Tony pinpointed $26,800 as a crucial point for Bitcoin enthusiasts, suggesting that maintaining prices above this would be vital for those in long positions.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

Back to top
Copyright ⓒ TokenPost. All Rights Reserved.