The Fed is back at the center of the market, and this week could set the tone for BTC, tech stocks, and gold. August core CPI came in at 0.3% month-over-month, keeping inflation pressure firmly in focus while expectations for a 25bp hike have moved close to 90%. The real question is not only whether the Fed hikes, but what comes after it.
If a 25bp hike lands, I expect the first reaction to be volatile rather than straightforward. BTC and high-growth tech could face short-term selling as liquidity tightens, while gold may find support if markets start pricing slower growth or rising economic risks. But if the hike is already fully priced in, the bigger move could come from Powell’s guidance.
My approach is simple: I’m watching BTC around key support and resistance levels instead of chasing the first candle. A hawkish Fed could create a sharp risk-off move, but a softer outlook could quickly reverse sentiment. The rate decision matters, but the message behind it matters even more.
#FedRateWatch
If a 25bp hike lands, I expect the first reaction to be volatile rather than straightforward. BTC and high-growth tech could face short-term selling as liquidity tightens, while gold may find support if markets start pricing slower growth or rising economic risks. But if the hike is already fully priced in, the bigger move could come from Powell’s guidance.
My approach is simple: I’m watching BTC around key support and resistance levels instead of chasing the first candle. A hawkish Fed could create a sharp risk-off move, but a softer outlook could quickly reverse sentiment. The rate decision matters, but the message behind it matters even more.
#FedRateWatch
