Bitcoin has hit six-week highs and held onto its gains since — is it the start of a trend change?
After passing $21,000 twice over the past week, BTC/USD is still lingering near the top of its multimonth trading range.
The coming week promises to provide a fresh dose of volatility thanks to the United States Federal Reserve commenting on interest rates and the economic outlook.
The key date is Nov. 2, which will see:
Should further upside ensue, traders may have to reassess their take on Bitcoin’s weakness in what many thought would be the quarter in which BTC/USD sees a capitulation to new macro lows.
The overall crypto market cap has already passed the $1 trillion mark once again, according to data from CoinMarketCap.
Hours from the monthly close, “Uptober” may at least still live up to its name.
Cointelegraph takes a look at three major factors influencing crypto market strength in the current environment.
The Fed could change its tune on rate hikes
When Cointelegraph reported on why the crypto market saw fresh losses last week, the United States Federal Reserve was first on the list.
Concerns focused on unwavering policy keeping the U.S. dollar strong and rates surging higher for the foreseeable future — the worst-case scenario for risk assets.
Nonetheless, the past week has seen the results of that policy spill over into other economies, notably Japan, which made repeated interventions in its exchange market to prop up the flagging yen.
At the same time, rumors are gathering over the outlook for rate hikes as the Fed runs out of room to maneuver. After next month’s hike, suspicions are that policy will begin to U-turn, making smaller hikes in subsequent months before reversing altogether in 2023.
Continue reading: https://cointelegraph.com/news/why-is-the-crypto-market-up-today
After passing $21,000 twice over the past week, BTC/USD is still lingering near the top of its multimonth trading range.
The coming week promises to provide a fresh dose of volatility thanks to the United States Federal Reserve commenting on interest rates and the economic outlook.
The key date is Nov. 2, which will see:
- Decision on key rate hikes
- Comments and economic projections
- Speech from Fed Chair Jerome Powell
Should further upside ensue, traders may have to reassess their take on Bitcoin’s weakness in what many thought would be the quarter in which BTC/USD sees a capitulation to new macro lows.
The overall crypto market cap has already passed the $1 trillion mark once again, according to data from CoinMarketCap.
Hours from the monthly close, “Uptober” may at least still live up to its name.
Cointelegraph takes a look at three major factors influencing crypto market strength in the current environment.
The Fed could change its tune on rate hikes
When Cointelegraph reported on why the crypto market saw fresh losses last week, the United States Federal Reserve was first on the list.
Concerns focused on unwavering policy keeping the U.S. dollar strong and rates surging higher for the foreseeable future — the worst-case scenario for risk assets.
Nonetheless, the past week has seen the results of that policy spill over into other economies, notably Japan, which made repeated interventions in its exchange market to prop up the flagging yen.
At the same time, rumors are gathering over the outlook for rate hikes as the Fed runs out of room to maneuver. After next month’s hike, suspicions are that policy will begin to U-turn, making smaller hikes in subsequent months before reversing altogether in 2023.
Continue reading: https://cointelegraph.com/news/why-is-the-crypto-market-up-today
