The regulator’s decision has been since July, according to a development reported by Arcane Research. cryptocurrency The FOMC’s is one of the most followed events for the bitcoin The level of intraday volatility above it reached an unprecedented level, breaking a record.
Despite the volatility experienced, the last period in which such an increase was experienced in the markets was the high inflation data announced in September. With the FOMC decisions, this high inflation is tried to be restrained.
BTC’s intraday volatility during last week’s FOMC meeting reached record highs.
This shows why it’s worth paying attention to important macro events, and you should already mark the Sept US CPI release on Oct 13th and the next FOMC press conference on Nov 2nd in your calendar! pic.twitter.com/tIZqrlpORf
— Arcane Research (@ArcaneResearch) September 28, 2022
With the market facing this grim reality, financial regulators seem to have no choice but to continue tightening monetary policy and gradually increase the key rate. Every rate hike by the Fed increases the pressure on the cryptocurrency market, so it’s quite normal to experience a spike in volatility after every FOMC meeting.
Koinfinans.com As we reported, the September meeting results resulted in more volatility than usual as there was no FOMC meeting in August. However, the expected 75 basis points increase did not cause any distress in the market, so no erratic movement is seen in the chart.
With this, CPI data It was unexpected by the cryptocurrency market, and short-term Bitcoin holders released most of their holdings, resulting in a massive 10% price drop.
The next two events that should spark another volatility spike are expected to be the October 13 CPI release and the FOMC press conference on November 2, when the regulator will share its decision. The consensus of the market is that there will be another 75 basis points increase.
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.