King cryptocurrency The unit dropped to $97,500 at the time of writing. So what is the reason for this decline? This decline, which caused greater losses in altcoins, started after yesterday’s Fed statements. After hitting $108,000 this week of BTC It is not surprising that it experiences such rapid losses. So shouldn’t investors be worried despite the Fed?
Bitcoin Decline and Cryptocurrencies
BTC price It fell to $97,500 after the US markets opened. In his statements yesterday, the Fed President hinted that there would be very little interest rate reduction next year and the risk of reversing the decline in inflation. While the markets are rapidly pricing in these announcements, the possibility of a pause in interest rate cuts is becoming evident as of January. On the other hand, Trump has not yet responded to Powell’s statements that he will oppose the BTC reserve.
There is no massive decline in US stock markets. However, while GDP was high, unemployment applications remained below expectations, confirming yesterday’s Fed statements regarding the pause. This shows that this decline may continue, albeit in the short term, unless Trump makes a new statement about cryptocurrencies.
Crypto-friendly chairman appointment for CFTC, trump‘of BTC Possible new announcements on the subject or the transformation of this decline into a major buying opportunity in the ETF channel may cause the price to move in the opposite direction in the coming hours. Otherwise, losses in altcoins risk reaching 20%, and DOGE has already lost 16%. Long positions worth $906 million were liquidated in the last 24 hours.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
