Attention 🚨 Imminent Impact of the FOMC on Cryptocurrencies 🚀
The meeting of the Federal Open Market Committee (FOMC) is held to discuss interest rate policy, with the expectation of maintaining them in the range of 5.25% to 5.50%, with the current rate being 5.50%.
Although this news has already been discounted by the markets, volatility is expected. Markets often anticipate events, adjusting prices beforehand. However, large movements in the market may seek to liquidate leveraged positions, especially at 125x or 10x. For example, 10x leverage can result in a liquidation if the market goes down 10%, unless you are prepared to add liquidity.
Tips for Trading with Leverage 💡
Manage Risk: Use tools such as stop-loss.
Add Liquidity: Be prepared to reinforce positions if necessary.
On many occasions, we have seen large movements that only seek to liquidate leveraged traders.
If you leverage 10x and it goes down 10%, you get liquidated or need to add liquidity to maintain the position.
For more details, you can follow the events on the Federal Reserve and CME Group page.
