#FOMCMeeting Attention, crypto investors! The Fed is preparing to decide the fate of the markets
What is the FOMC and why should you care?
This Wednesday, the Federal Open Market Committee (FOMC) of the U.S. Federal Reserve will decide whether to raise, lower, or maintain interest rates.
And yes, even though it may seem distant from the decentralized world, cryptocurrencies tremble every time Powell speaks.
Why does it matter for crypto?
High rates = less liquidity = bearish pressure.
Stable or lower rates = more risk = more interest in assets like BTC and ETH.
The narrative of "crypto as a safe haven" is put to the test every time the Fed acts.
Possible scenarios:
1. No changes: Bitcoin could move sideways or rise moderately.
2. Rate cut (surprise): Bullish explosion.
3. Unexpected hike: Rapid decline of both crypto and traditional markets.
Bonus: the digital dollar in focus.
Monetary policy will be key for future CBDC plans.
Get ready for more control… or more adoption of DeFi.
Final reflection: Decentralization is not free from the influence of the system.
But the more chaos there is in the traditional system, the stronger the case for crypto becomes.