Jerome Powell

Chair

Bitcoin

As the Fed prepares to announce its decision on interest rates this Wednesday, some analysts are warning that an aggressive cut could paradoxically hurt Bitcoin (BTC) and other risky assets.
While low interest rates typically boost demand for cryptocurrencies, a more dramatic cut could signal deeper economic concerns, causing investors to pull back from riskier investments.
Shannon Saccocia, chief investment officer at Neuberger Berman Private Wealth, told MarketWatch that a larger-than-expected rate cut could indicate that the economy is in worse shape than expected, which could lead to a sell-off in assets like Bitcoin.
This view was echoed by Dave Birnbaum, vice president of product and marketing at Coinbits, who wrote for Forbes, noting that if the Fed signals deeper economic concerns, “market participants could pull back from assets they perceive as risky, including Bitcoin.”
Related News: <a href="https://en.bitcoinsistemi.com/binance-responds-to-criticism-of-its-recent-altcoin-listings/" target="_blank" rel="noopener noreferrer nofollow">Binance Responds to Criticism of Its Recent Altcoin Listings</a>
Crypto investors are hoping for another rally similar to previous cycles. In October 2019, the Fed implemented three 25 basis point cuts, referred to by Fed Chair Jerome Powell as “mid-cycle adjustments.” This period, and the massive fiscal response to the Covid-19 pandemic, saw Bitcoin’s price increase by more than 1,300%, surpassing $60,000 in 2020.
*This is not investment advice.
 Continue Reading: <a href="https://en.bitcoinsistemi.com/analysts-warned-bitcoin-price-could-take-unexpected-big-surprise-if-interest-rate-cut-happens/" rel="noopener noreferrer nofollow">Analysts Warned: Bitcoin Price Could Take Unexpected Big Surprise If Interest Rate Cut Happens</a>

Analysts Warned: Bitcoin Price Could Take Unexpected Big Surprise If Interest Rate Cut Happens

Bitcoin Sistemi EN

Other articles published on Sep 17, 2024

“Not Even Elon Musk Can Pump DOGE”: Shiba Inu Top Executive

MicroStrategy’s Bitcoin Holdings Surpass $14 Billion, Prompting Miners to Consider Direct Crypto ...

Unmasking Crypto Ponzi Schemes: 5 Crucial Signs You Need to Watch For

Howard Winklevoss gifts $4m Bitcoin donation to Grove City College

Crypto Crash: Bitcoin Plummets as Certain Group Begins to Liquidate

Intel shares jump 6% after plan to spin off AI chip-making arm

Join our free newsletter for daily crypto updates!