Analyst Prediction: If This Happens, Bitcoin (BTC) Rally Triggers!

Popular crypto analyst, cryptocurrency of the market US Federal Reservedepending on the actions of 2023He says he could see a big rally in .

A Catalyst Could Trigger ‘Crazy’ Cryptocurrency Rally in 2023, According to Coin Bureau

In a recent YouTube strategy session, Coin Bureau’s pseudonymous host told his 2.18 million subscribers that a crypto bull rally is dependent on whether the Fed pulls back rate hikes next year.

The analyst says the Fed is likely to step back, although Powell said at the last Fed meeting on December 14 that they might need to raise the interest rate beyond 5% to contain inflation.

After a series of rate hikes this year, the FED increased rates by half a point this month, pushing the economy into recession. The increase brought the interest rate to a range of 4.25% to 4.5%, the highest level in nearly 15 years.

There is no guarantee that the Fed will manage to raise interest rates to 5% or more. Because the higher the interest rates, the more likely it is that something will break in the financial system.

If the Fed follows the rate hikes in 2023, it won’t be good at all. Cryptocurrency market will continue to crash until the FED pauses and will only start to recover when the FED steps back.

If rates are increased as predicted, the analyst says, crypto markets will continue to suffer as money will continue to flow through the financial system to repay more expensive debt and less money will be created due to more expensive loan costs.

He also said that if the Fed has to step back because of a problem in the financial system, then crypto will rise like crazy.

*Not investment advice.