The price of bitcoin rose by 3% and Ethereum by 12%! What is happening with the cryptos and why are they doing so well despite the caution from the U.S. Federal Reserve (FED)? 🤔
The madness of the crypto market broke out after a key announcement from the FED! The FedWatch tool, which is like the oracle of the market, now says there is a very high probability (87.3%) that the FED will lower interest rates on September 17. This is big news! 💥
Although the head of the FED, Jerome Powell, didn't fully confirm it, the markets got happy. It's like the party is about to start, but he asked us to wait a little bit. 😅 And you know what? The cryptocurrencies didn't wait and went to party on their own. Bitcoin rose to $116,269 and Ethereum climbed 12% this week. Crazy! 🚀
Why are the cryptos reacting this way? Well, because when the FED lowers rates, money becomes cheaper and people look for where to invest it to earn more. And where do you think they are putting it? Exactly! In cryptocurrencies like Bitcoin and Ethereum, which are seen as a safe haven or a quick profit opportunity. It's as if capital is looking for a new home and found it in the digital world! 💰
Now, what awaits Bitcoin? Experts say that if it manages to break the barrier of $118,500, we could see it soar to $130,000. But if it drops below $112,000, be careful, because it could correct badly. It's a waiting game to see what happens with inflation in the U.S. If prices remain calm, we could have a mid-year crypto boom! 📈
So, while the FED decides, Latino investors involved in bitcoin and cryptos need to be very attentive to every piece of data that comes out. The market is more volatile than ever and every move from the FED could mean a significant gain or loss. 🧐$BTC
