My analysis indicates a positive outlook for inflation, which seems to be moderating based on the recent ICP and core #inflation data. This has indeed triggered rallies across various asset classes, including stocks, bonds, and cryptocurrencies.
The Federal Reserve will likely take this data into consideration as it evaluates future monetary policy actions. While the better-than-expected inflation numbers provide room for potentially easing interest rates, the #FED will also weigh other economic indicators and potential risks before making any decisions. The upcoming presidential election could indeed add pressure for favorable economic conditions, but the Fed's primary focus remains on its dual mandate of stable prices and maximum employment.
$BTC reaction this morning, jumping from $67,480 to $69,540, reflects market optimism. The key level to watch is the resistance at $68,500. The 2 PM announcement from the Fed and Jerome Powell's commentary will be crucial. If the Fed hints at a dovish stance or potential rate cuts, Bitcoin could test its all-time highs. Conversely, any hint of continued tightening could see #Bitcoin retesting support levels at $66,000 and potentially $62,000.$BTC
Overall, market participants will be closely monitoring the Fed's communication for any signals on the future path of monetary policy. #BTCFOMCWatch #altcoins