Bitfinex Analysis Summary on How BTC Price Will React to a Fed Rate Cut
A Bitfinex analyst predicts that if the Fed cuts rates by 0.25% this month, it could trigger a “sell the news” event, and combined with September being a generally bad month for BTC prices, this could send Bitcoin down to $40K-$50K before recovering.
Conversely, a sharper 0.50% rate cut could trigger an immediate rally of up to 8% for Bitcoin, but this rally could be short-lived as fears of a recession weigh on market sentiment.
However, the Bitfinex analyst also notes that the current reality is different, as Bitcoin has already undergone two halving events and the world economy is no longer dealing with a global pandemic.
What do you think???