WHY HAVEN’T MARKETS FALLEN AFTER THE FED’S DECISION? 🧐
A full day has passed since the Fed’s decision, and the markets are still holding up.
💁 My take: the market was crowded with shorts and loaded with expectations that a rate hike would send prices down. Once the news came out, larger players may have started buying the dip.
Crypto has barely moved lower. It’s surprising how strongly $BTC is holding up against gold, and how well $ETH is holding up against $BTC . Some alts are even moving higher.
My theory is that markets may be kept from falling too sharply ahead of the November 3 US elections. The rate hike is the setback for Trump, who promised to bring rates down to 1%. A sharp market decline would hardly be welcome in the White House.
Eventually, that strength may have to be reconciled - but we’ll see which way it goes.
I’m waiting for the market to show its hand before opening new trades.
A full day has passed since the Fed’s decision, and the markets are still holding up.
💁 My take: the market was crowded with shorts and loaded with expectations that a rate hike would send prices down. Once the news came out, larger players may have started buying the dip.
Crypto has barely moved lower. It’s surprising how strongly $BTC is holding up against gold, and how well $ETH is holding up against $BTC . Some alts are even moving higher.
My theory is that markets may be kept from falling too sharply ahead of the November 3 US elections. The rate hike is the setback for Trump, who promised to bring rates down to 1%. A sharp market decline would hardly be welcome in the White House.
Eventually, that strength may have to be reconciled - but we’ll see which way it goes.
I’m waiting for the market to show its hand before opening new trades.
