As an increase in the interest rate of the US Federal Reserve, will affect cryptocurrency – Bits Media

The US Federal Reserve has held the next meeting to adjust the basic interest rate. Cryptoncorn reaction was not long in coming.

After the merger of the Ethereum last week, the price of ETH fell sharply, What corresponded to expectations some market experts. In the absence of good news on the market, a bear trend remains and a clear drawback of new narratives is traced. According to, published by the Fed 13 september, The level of inflation in the US has reached 8.3%. In the meantime, inflation in Europe has reached 9.1%. The situation is even more serious in Germany, where prices have reached a new maximum over the last 30 years old.

21 On September, the US Federal Reserve held the next meeting to adjust the basic interest rate and raised it to 75 basic points. According to the Federal Council Chairman Jerome Powell at the end of August, Such an increase was the most likely outcome. Improving the rate on 75 Basic points are taking place at the third meeting in a row this year.

The continuing compression of global monetary liquidity by the Fed is also one of the main reasons for the decline in the cryptocurrency market. With the current capitalization of the market, cryptocurrency is unlikely to remain independent of the US stock market and prosper independently.

Most crypto acts correlate with the mood of the market. for instance, In the case of bitcoin, you can see the market reaction to previous frag meetings, when the price of BTC fell after each interest rate increase, with the exception of the first increase, announced 17 Marta.

Source: CoinEx

In the footsteps of the Federal Set of FRS Market, probably, will continue the fall. However, it should be noted, that the short -term interest rate on US Treasury bonds has now become much higher than the long -term, Which leaves the Fed has little opportunities for further raising the rate.

If the Fed continues to increase the interest rate, It is likely, that a large -scale default on public debt will occur. In the worst case, the US dollar will lose its creditworthiness, which will provoke a more destructive financial crisis.

Bitcoin and ether trends

For the latter 30 There were days 15 days, during which there was an outflow of BTC in the market. Moreover, Obviously anomalous indicator, fixed 13 september, testifies to maintaining the volatility and instability of the mood in the market, which never formed an ascending or descending trend.

The rainbow schedule of the cost of bitcoin speaks of, that the price of BTC is close to the position "1 BTC = 1 BTC". Previous bubbles and indicators, based on moods, were washed off with bears. Or in other words, the price of BTC probably reached the bottom. To achieve a rebound, Bitcoin will need huge cash injections, Favorable macroeconomic conditions, as well as the appearance of flywheel in the market.

If we talk about the air, then despite the fall of its value after the merger, Market forecasts regarding the future price trend are still very optimistic. 14 September on exchanges there was a large tributary of coins, mainly because of the upcoming merger. Besides, Some exchanges supported Ethereum. However, the listing time of the corresponding cryptoactive and their cost differs from the exchange to the exchange.

The rainbow graph of the ether shows, that its price has now fallen to the level of "hot sales".

However, it should be emphasized, that these indicators are intended only for familiarization and are not crucial when investing in cryptocurrencies. In today's bear market, many previously useful indicators could not help investors catch a market trend. for instance, Everyone is accustomed to the idea of, that the world economy is fast or slow, but it will definitely grow. Now such a forecast has become less relevant.

You must understand, that the growth period, caused by the industrial revolution, perhaps, Remained in the past. Today we are moving to the future, complete uncertainty. In such an unstable future, Coinex financial services help investors to again gain confidence. Thanks to such services, investors have the opportunity to receive interest from their investments the very next day and instantly withdraw their income.

Moreover, Coinex services have no requirements for a minimum deposit, which makes it easy to make a profit, By investing free assets. Since its creation five years ago, not a single security violation has been registered on Coinex, which indicates the effectiveness of her protection system.

When it comes to investments, You can often hear, what less do you do, The more you earn. In the current bear market, investors must properly use their capital. Although many promising projects were launched in the conditions of a bear market, Most of them are extremely risky, Since they can seriously suffer from the actions of the bears.

In such conditions, Taleb's "Strategy" – good approach for crypto -investors. You can invest most of your assets in Coinex products, which are characterized by low risks and stable returns, and invest the remaining money in high-risk projects, promising high profits. If you have free assets, you may consider investing them in
financial segment of CoinEx.

Before making decisions to invest in any assets, the investor must independently study the market. Information, presented in the article, cannot be considered a basis for making investment decisions.