Worst Crypto Market Is Yet To Come, Expert Explains Why?

Worst Crypto Market Is Yet To Come, Expert Explains Why?

The cryptocurrency market has shown some strength over the past 24 hours. The price of Bitcoin rose by 2.57% and is currently trading at $20,161. Ethereum also jumped by 1.8% in the last 24 hours and crossed the $1,352 mark.

XRP broke its decline and jumped 5% in one day and is currently trading at $0.4793. Dogecoin (DOGE), which rose 8% in one day, was another big riser in the cryptocurrency market.

However, experts believe that the crypto rally may not last long. Eight Global CEO and crypto analyst Michael van de Poppe believes the dollar is ready for a rally. Therefore, the crypto market may undergo a strong correction.

US unemployment data will also be released on Friday. Michael Pope thinks this data may be bad and have a bad effect on the market.

Why the cryptocurrency market is struggling

Despite today’s rally, the crypto market is still showing bearish sentiment. The Federal Reserve remains hawkish despite fears of a global recession. The UN has called on the world’s economies to abandon their aggressive stance. However, it remains unlikely that the US central bank will comply.

The Fed’s position will be clearer when Atlanta Fed President Raphael Bostick delivers a keynote speech on Wednesday. Charles Evans of Chicago and Loretta Mester of Cleveland will speak Thursday.

Oil prices will create additional uncertainty in an already adverse macroeconomic environment. The Organization of the Petroleum Exporting Countries is considering the biggest supply cut since 2020 to boost prices. OPEC+ will meet on Wednesday to formalize the decision.

What will the Fed’s decision be?

The cryptocurrency market is still highly correlated with the broader overall market. Therefore, macroeconomic conditions will always dictate price action.

The CME Fed Watch tool still predicts another hike of 75 basis points at the Fed’s next meeting.

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