Cryptocurrency investors closely watched a popular trading company’s latest assessment. Before the Fed meeting, Bitcoin’s price significantly dropped. The BTC price, which was pushing $72,000, fell below $67,000 today. Losing the key $68,500 support is concerning.
Cryptocurrency Market Expert Commentary
Bitcoin‘s price drop is common during Fed weeks, and it happened again. The losses BTC experienced following Friday’s high Non-Farm Payroll data were not surprising. Using the all-time record-breaking BNB Coin as an example, we predicted the $700 price could drop to $635 or lower before Friday’s decline accelerated. Indeed, it happened. BNB Coin price is targeting $590, hovering around $607.
Sales in altcoins accelerated today, with most turning red. With the risk of BTC price dropping to the $63,000 levels, it’s not surprising that altcoin investors are more cautious in this pessimism.
QCP Experts’ Predictions
The decline fueled by macroeconomic negativity is best commented on by QCP Capital experts. Their latest assessment mentions the upcoming Fed meeting triggering this escape. In their recently published analysis, they wrote:
“Crypto markets have come under some pressure due to the following reasons;
Non-Farm Payroll figures surprised the market. US Treasury yields are at recent highs as July and September cuts are priced in.
Macron called for early elections in France. EURUSD was sold due to increasing geopolitical risk in the EU. This contributed to the strengthening of the dollar and a general risk-off sentiment.
Markets are in risk-off mode ahead of tomorrow’s CPI and FOMC. This month’s FOMC will also release the Dot Plot, informing the market of how many cuts the Fed foresees for the rest of 2024.
BTC ETFs saw a $64 million outflow yesterday, likely due to investors avoiding risk before tomorrow’s events.
Despite short-term headwinds, we think this could be a good opportunity to accumulate cryptocurrency. On the horizon, there are bullish catalysts like the final ETH spot ETF launch, with Biden and Trump in a verbal arms race to win crypto votes.”
