FOMC cuts interest rates, but move was already 'priced in': Analyst

💡 DMK Insight

The crypto market’s reaction to the anticipated interest rate cut is already baked in, but uncertainty looms for December. If analysts are correct, traders might see limited volatility in the short term as the market adjusts to the current rate environment. However, the Fed’s indecision about a potential December cut could create a tug-of-war between bullish sentiment and bearish caution. If the Fed signals a more hawkish stance, it could lead to a sell-off in crypto assets, particularly those that have rallied on the back of rate cut expectations. Keep an eye on key resistance levels in major cryptocurrencies; a break below these could trigger further downside. On the flip side, if the Fed surprises with a more dovish outlook, we might see a renewed rally. Traders should monitor the upcoming Fed meetings closely, as any hints about future cuts could shift market sentiment dramatically. Watch for Bitcoin’s price action around its recent highs; a decisive move could set the tone for the broader market.