Dear traders! 📉💰
Today's events in the financial markets have sparked a real wave of discussions. The U.S. Federal Reserve lowered the base interest rate by 0.25%, which matched the expectations of most market participants. However, the statement by Fed Chair Jerome Powell regarding forecasts for 2025 became the key trigger for price movements.
Powell noted that he expects only two additional rate cuts in 2025, and the inflation forecast was revised from 2.1% to 2.5%. These macroeconomic factors have put significant pressure on investor sentiment. 📊🇺🇸
Market reaction to cryptocurrencies
After the press conference, the price of Bitcoin (BTC) sharply fell by 4.6%, reaching $101,300, while Ethereum (ETH) dropped by 5.96%, down to $3,600. 🪙🔻
Analysts note that the drop in Bitcoin's price triggered mass liquidation of positions among both bulls and bears. Against this backdrop, trader Skew highlighted important levels: the support zone for BTC is currently in the range of $100,000–$98,000. A return of the price above $101,400 will be decisive before the daily candle closes. 📈🕯️
What does this mean for traders?
Macroeconomic factors, such as Fed decisions and inflation forecasts, directly impact the cryptocurrency market. What can be done in such a situation:
1. Reassess your strategies. If you are trading on margin, be especially cautious in conditions of high volatility.
2. Keep an eye on key levels. Support and resistance levels on the Bitcoin chart are more important than ever.
3. Be prepared for news. Any subsequent statement from regulators can change market sentiment.
Conclusion
The cryptocurrency market remains incredibly dynamic and susceptible to external factors. In such moments, it is important to stay calm, not to succumb to panic, and to remember that every crisis opens new opportunities. Good luck in your trading! 🚀💵
This material is for analytical purposes only and is not financial advice.$BTC
