With August core CPI rising 0.3% month-over-month, market expectations suggest a near 90% probability of a 25bps move from the Fed.
If a rate hike lands, we might see short-term liquidity tightening, which usually impacts risk-on assets. However, whether this marks a one-off adjustment or the start of a longer cycle remains to be seen based on incoming labor and growth metrics.
For BTC, a rate hike often causes initial volatility or minor pullbacks, but Bitcoin's long-term thesis as a scarce asset stays strong. Gold might experience a temporary reaction before finding support, while tech stocks could face valuation pressure in a high-rate environment.
My current strategy is to keep an eye on key support levels, manage leverage carefully, and dollar-cost average (DCA) into spot positions during volatility.
What are your thoughts on this? Let's discuss!
#FedRateWatch
If a rate hike lands, we might see short-term liquidity tightening, which usually impacts risk-on assets. However, whether this marks a one-off adjustment or the start of a longer cycle remains to be seen based on incoming labor and growth metrics.
For BTC, a rate hike often causes initial volatility or minor pullbacks, but Bitcoin's long-term thesis as a scarce asset stays strong. Gold might experience a temporary reaction before finding support, while tech stocks could face valuation pressure in a high-rate environment.
My current strategy is to keep an eye on key support levels, manage leverage carefully, and dollar-cost average (DCA) into spot positions during volatility.
What are your thoughts on this? Let's discuss!
#FedRateWatch
