Reserve

Bitcoin

James

As 2023 concludes, cryptocurrency investors are rejoicing a year marked by massive gains and anticipate a continued bull run ahead. However, the Bitcoin bull run might have to wait as Goldman Sachs, an investment banking giant suggests two <a href="https://news.todayq.com/bitcoin-bull-run-when-reuters-poll-show-no-fed-rate-cuts-till-july/" target="_blank" rel="noreferrer noopener">interest rate cuts by the U.S. Federal Reserve</a> next year but it might come with a delay. Bitcoin bull run to halt? 
Bitcoin (BTC) recorded a remarkable performance in 2023 as it doubled in value and reached a 20-month high of $42,000 per token in November. The year 2023 reportedly stands as <a href="https://news.todayq.com/bitcoin-price-correction-buying-opportunity-ahead/" target="_blank" rel="noreferrer noopener">Bitcoin’s most successful run</a> since 2020 in terms of percentage gains. 
On the other side, the US Fed Reserve has maintained its benchmark interest rate by keeping it in the 5.25%-to-5.50% range at the end of its October-November policy meeting. However, this move now comes under scrutiny as analysts anticipate a steady outcome during the upcoming week’s meeting. 
As per a report, Goldman Sachs shifted its projections regarding the interest rate cuts. It now foresees two cuts by the Federal Reserve in 2024, while, the first cut is expected in the third quarter. However, this adjustment is based on the rationale of cooling inflation and economic conditions. 
The recent data indicated a stronger than expected US labor market and traders are betting that the Fed Reserve will proceed with interest-rate cuts in 2024. Some anticipate that the first cut could land as early as March. Fed Res to bust BTC bubble 
James Butterfill, the Head of Research at asset management firm CoinShares reportedly highlighted the crucial role of the interest rate cycle in influencing Bitcoin’s performance. He noted that rising interest rates triggered the burst of the Bitcoin bubble and potential interest rate cuts could stimulate the next rally. 
Market investors are navigating these developments. However, their decisions will likely be influenced by a combination of other macroeconomic indicators and regulatory decisions, setting the stage for an intriguing start to 2024. 
The crypto market’s performance is correlated with expectations of central banks globally easing monetary policies. This will be done in response to cooling inflation which has elevated market sentiment. 
Market participants look optimistic that a departure from further rate hikes will make risk assets, including crypto, more appealing. However, the prospect of a spot Bitcoin exchange-traded fund (ETF) gaining approval from the U.S. Securities and Exchange Commission (SEC) has also boosted market confidence. 
Get Crypto Trading Signals from Real Crypto Analysts. Join our Waiting List at todayq.com

Bitcoin Bull Run to pause amid Fed Rate cut speculation

Todayq News

Other articles published on Dec 11, 2023

Crypto Market Selloff: Here’s Why BTC, ETH, XRP Prices Fell Sharply Today

Bitcoin miners attract venture capital, new crypto mining project raises funds

Chipper Cash lays off 15 employees in fourth layoff round

XRP and Solana Lead Altcoin Surge: Report Reveals 11 Consecutive Weeks of Inflows

CEX Data in Nov: Spot Trading Volume Surges Over 60%

Bonk (BONK), a Solana-based dog-themed memecoin, has risen to become the third-largest memecoin i...

Join our free newsletter for daily crypto updates!