The "FOMC Meeting" always seems to be one of the biggest days in the crypto space, and it was no different today. I found myself wondering how the Fed's discussions around interest rates and inflation would impact bitcoin, ethereum, and altcoins at large. Would tightening monetary policies push investors toward decentralized assets as an inflation hedge? Or would rate hikes push some into traditional markets, leaving behind altcoins?
I have learned to look past the headlines—Jerome Powell's tone often tells you way more than the announcement itself. Today, his cautious optimism provided me some comfort, but I am not breaking out the party hat just yet. The macro economic climate of inflation data and global unrest, like war, could shift overnight.
For me, it’s still the same race. I review risk tolerance, tighten stop loss orders and not execute FOMO trades. The interplay (or lack thereof) between Fed policies and crypto is very complex and hype sometimes clouds rational thought.
Despite clearing up some information, FOMC meetings are not magic wands. Markets remain unpredictable and reactive-based styles usually do not pay out long term. The take away here is that -be prepared, balanced, and always do your own research (DYOR)!
