The anticipation is palpable as the financial world braces for the release of the Federal Open Market Committee (FOMC) in June 2023 minutes. While the excitement builds, Bitcoin’s price seems to be engaging in a captivating bull trap dance, adding an element of intrigue to the crypto markets.
Crisis Looming? US Commercial Real Estate and Bitcoin’s Fate
As traders eagerly await the FOMC meeting scheduled for July 25 and 26, 2023, the Bitcoin price is displaying moments of hesitation, dipping closer to its weekly low. Speculations are running wild, with all eyes on the US Federal Reserve and its potential stance on rate hikes. The prevailing sentiment suggests that a 25 basis points (bps) rate hike is on the horizon, but it is the nuanced commentary on monetary policy that could truly set the stage for future market movements.
Recently, Fed Chair Jerome Powell, in a riveting speech at a Bank of Spain event in Madrid, dropped hints about the possibility of not just one, but two or more rate hikes by the end of 2023. Powell emphasized the arduous journey still ahead to achieve the coveted 2% inflation target. With this information in the hands of traders, it appears that the financial markets may have already incorporated the possibility of a 25 bps rate hike into their calculations.
BTC To Follow The Bullish Trend In Q4?
Now, all eyes turn to the eagerly awaited FOMC minutes. This detailed analysis of the current economic conditions in the United States will shed light on the Fed officials’ perspective on the timeline for raising rates in the months to come.
Moving on, analysts predict that the Bitcoin price may enter a corrective phase in the next few months before potentially taking flight in the fourth quarter. Thus, any glimmers of hope suggesting a pause in rate hikes during that period could ignite a surge in the Bitcoin price, setting the stage for a captivating bear trap trend in the short term.
Notably, the CME FedWatch Tool reveals that a resounding 86% of the market expects a 25 bps rate hike in the upcoming Fed meeting. Market participants will be eagerly analyzing the FOMC minutes to gauge the potential impact on Bitcoin and the wider cryptocurrency market.
The unfolding of the FOMC minutes promises an exhilarating narrative, shaping the trajectory of Bitcoin’s price and leaving traders and enthusiasts alike on the edge of their seats. As the crypto markets await this crucial piece of information, agility, and adaptability will be essential in navigating the twists and turns of the Bitcoin bull trap dance.
Are there any other factors you believe will influence its price in the aftermath of the FOMC minutes release?
