@valentianak
Federal Reserve Policy Decision Looms Over Crypto Markets
Cryptocurrency markets have entered a cautious holding pattern ahead of the upcoming Federal Reserve policy meeting. Interest rate futures currently price in a 68 percent probability of rate cuts beginning in September with 50 basis points of easing expected by years end. Bitcoins 30 day correlation with traditional risk assets has strengthened to 0.45 indicating growing sensitivity to macroeconomic developments. A dovish Fed stance could trigger a relief rally across crypto markets with 75000 as the next major Bitcoin target. Conversely any hawkish surprises may test the 68000 support level. Options markets show increased demand for downside protection with put call ratios rising to 0.75 from 0.60 two weeks ago reflecting investor caution.
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