THE FED HAS ANNOUNCED 50 BPS RATE CUT AND MANY BELIEVE STOCKS AND CRYPTO WILL START TO CRASH

 

THIS IS SOMETHING I'M WATCHING ON MY TIMELINE REGULARLY. 

 

MANY PEOPLE ARE SAYING THAT WHENEVER THE FED HAS STARTED ITS RATE CUT WITH 50 BPS OR MORE, A RECESSION HAS HAPPENED. 

 

BUT THIS ISN'T COMPLETELY TRUE.

 

LET'S TAKE A LOOK AT THE RATE CUT HISTORY 👇

 

✜ SEPTEMBER 1984

 

➬ FED ANNOUNCED ITS FIRST RATE CUT OF 50 BPS

 

➬ SPX PUMPED 9% WITHIN THE NEXT 6 MONTHS

 

✜ NOVEMBER 1987

 

➬ FED ANNOUNCED ITS FIRST RATE CUT OF 50 BPS

 

➬ SPX PUMPED 6% WITHIN THE NEXT 6 MONTHS

 

✜ JANUARY 2001

 

➬ FED ANNOUNCED ITS FIRST RATE CUT OF 100 BPS

 

➬ SPX DUMPED 8% WITHIN THE NEXT 6 MONTHS 

 

✜ SEPTEMBER 2007

 

➬ FED ANNOUNCED ITS FIRST RATE CUT OF 50 BPS

 

➬ SPX DUMPED 11% WITHIN THE NEXT 6 MONTHS 

 

AS IT'S CLEAR THAT NOT EVERY TIME, A 50 BPS OR MORE RATE CUT HAS CAUSED MARKET DUMP

 

IT ALL DEPENDS ON WHETHER OR NOT THE ECONOMY IS ENTERING A RECESSION, WHICH IS NOT THE CASE NOW.

 

GDP IS STILL POSITIVE, INFLATION IS TRENDING DOWN, AND GLOBAL LIQUIDITY IS RISING 

 

IMO, FIRST THERE WILL BE A CRYPTO BULL RUN, BTC WILL PUMP BEYOND $150,000 AND ALTS WILL PUMP 20X-100X

 

AFTER THAT, THERE WILL BE A RECESSION WHICH WILL PERFECTLY COINCIDES WITH BTC 4 YEAR CYCLE.