How Would Fed Tapering Affect The Bitcoin Market?
With the S&P 500 continuing to reach all-time highs almost daily, the talk of tapering by the Federal Reserve is rampant.The below is from a recent edition of the Deep Dive, Bitcoin Magazine's premium markets newsletter. To be among the first to receive these insights and other on-chain bitcoin market analysis straight to your inbox, subscribe now. S&P 500 Drawdowns From All-Time High With the S&P 500 continuing to reach all-time highs seemingly almost daily, with the last 5% correction occurring 10 months ago, talk has begun to reemerge from Federal Reserve officials to start tapering....
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Following a Federal Reserve announcement on tapering acceleration, the bitcoin price and equities rallied in tandem.
Bitcoin has dropped 3.8% in the 24-hour chart as the Chairman of the U.S. Federal Reserve Jerome Powell gave a speech on the current economic outlook. As of press time, the crypto market has negatively reacted to Powell’s statements as the intuition finally hints at a possible start of tapering. Related Reading | Can “Coin Days […]
The U.S. central bank’s vice chairman Richard Clarida explained on Wednesday that the Federal Reserve could begin tapering large asset purchases this year. Also, that the first interest rate hike since the onset of Covid-19 could happen in 2023. Meanwhile, despite members of the Fed saying inflation will be transitory, corporate bosses from some of the largest institutions are complaining about rising inflation. Looming Jobs Report, Richard Clarida Say Taper Could Happen This Year At the end of 2019, the Federal Reserve and numerous central banks all around the world started....
Potential Federal Reserve tapering, blackouts in China and global energy crises are sending markets into turmoil. How does bitcoin fit in?
The price of major cryptocurrencies soared on Wednesday after the Federal Reserve announced that it will accelerate the tapering of its asset purchases, with the program set to expire in March, and that the benchmark interest rate would be raised three times next year. Following the Fed’s announcement, Bitcoin soared from roughly $47,800 to over $49,350. The cryptocurrency is currently worth $49,080, up 2.2 percent in the last 24 hours. Ethereum was at above $4k at press time. Tapering Scared Investors Off The crypto market may have already factored in the Fed’s decision to....