Watching Bitcoin hit a $77,000 brick wall while the Fed squeezes the entire market makes my heart drop.
You would think cooling U.S. labor data and soft job reports would trigger a massive rally for crypto. But then $90 crude oil enters the chat, sending inflation fears right back through the roof.
Here is what is happening behind the scenes right now:
The Fed led by Kevin Warsh stopped talking about rate cuts and is now pricing in another rate hike for the September 16 meeting.
U.S. Treasury yields are surging, sucking liquidity straight out of risk assets.
Spot Bitcoin ETFs just saw $236.4M in net outflows in a single day, completely erasing the previous day's gains.
Policymakers are caught in a nightmare trap: the economy is slowing down, but rising fuel prices keep inflation sticky. Raising rates further risks breaking the labor market, while cutting them risks triggering another inflation wave.
While macro pressure weighs heavy on the market, Bitcoin is sitting right back at local support levels.
Are you bracing for a deeper drop or buying this dip before the Fed meeting?
$BTC
You would think cooling U.S. labor data and soft job reports would trigger a massive rally for crypto. But then $90 crude oil enters the chat, sending inflation fears right back through the roof.
Here is what is happening behind the scenes right now:
The Fed led by Kevin Warsh stopped talking about rate cuts and is now pricing in another rate hike for the September 16 meeting.
U.S. Treasury yields are surging, sucking liquidity straight out of risk assets.
Spot Bitcoin ETFs just saw $236.4M in net outflows in a single day, completely erasing the previous day's gains.
Policymakers are caught in a nightmare trap: the economy is slowing down, but rising fuel prices keep inflation sticky. Raising rates further risks breaking the labor market, while cutting them risks triggering another inflation wave.
While macro pressure weighs heavy on the market, Bitcoin is sitting right back at local support levels.
Are you bracing for a deeper drop or buying this dip before the Fed meeting?
$BTC
