Well, here we are again. Buckle up because it seems like Bitcoin has decided to take us all on a wild ride. After an intense period of… absolutely nothing, it’s finally made a move. And guess what? It’s dipped below $25k. So much for the thrill of the climb, right?
The U.S. Federal Reserve’s “Hawkish Pause”
Once again, the U.S. Federal Reserve is stepping in to add some unexpected twists and turns to our rollercoaster ride.
An impending Federal Open Market Committee (FOMC) meeting has got Bitcoin traders on the edge of their seats. The consensus is that the central bank will likely hold interest rates steady, a move some have dubbed a “hawkish pause.”
The “Hawkish Skip” and Its Impact
The term “hawkish skip” is being bandied about, which implies that the Fed might pause at this meeting but raise their median interest rate projection to appease the committee hawks. But despite the seemingly bearish mood in the market, some industry insiders think that this might not be such a bad thing for Bitcoin.
After all, the bar might be high for Jerome Powell to out-hawk the market, which could potentially allow a recovery in risk assets, including Bitcoin.
The Binance-SEC Tussle
Adding to the turbulence is the ongoing tussle between Binance, Binance.US, and the SEC. The crypto exchange and its U.S. affiliate have been ordered to attend a mediation conference amid allegations of selling unregistered securities. While the SEC moved to freeze Binance.US’ assets, the companies are negotiating limits to continue operations. This ongoing uncertainty is bound to add a few unexpected loops to Bitcoin’s rollercoaster ride.
If you’re a Bitcoin investor, it seems like you’re in for a wild adventure. Strap in and hang on tight – the ups and downs are part of the thrill! But don’t forget to keep your hands and feet inside the vehicle at all times. The crypto market isn’t for the faint-hearted!