FOMC today: key Fed decision and possible impact on the cryptocurrency market
Today, financial markets are awaiting the decision of the Federal Reserve of the USA regarding interest rates. The FOMC statement will be published at 14:00 Eastern Time, and Jerome Powell's conference will take place half an hour later.
According to market pricing, the probability of no change in interest rates is about 97%. Investors assume that the Fed will remain cautious as inflation continues to stay above the 2% target, despite stable labor market data.
Why is this important for cryptocurrencies?
Powell's tone may directly influence risk assets, including Bitcoin and altcoins. Historically, FOMC meetings often cause increased volatility in the cryptocurrency market.
Bitcoin tested the level of 90,000 USD earlier today, and the market remains in a wait-and-see mode. Any signal suggesting future rate cuts could support increases, while a hawkish Fed message may trigger a short-term correction.
Additional market factors:
Aside from the Fed's decision, today Tesla, Microsoft, and Meta are publishing their financial results. Data from the stock market may influence global investment sentiment and indirectly impact the cryptocurrency market.
Summary:
Although the Fed's decision itself may be neutral, the market will focus on Powell's words. They may set the direction for Bitcoin and the entire crypto market in the coming days.
