#FOMCMeeting

FOMC (Federal Open Market Committee) meeting often has a significant impact on the crypto market, even though it's centered on U.S. monetary policy. Here's how it typically affects crypto:

1. Interest Rate Decisions

Rate hikes: Can lead to a drop in crypto prices, as higher rates make riskier assets (like crypto) less attractive.

Rate pauses or cuts: Often bullish for crypto, as it signals looser monetary policy and more liquidity.

2. Fed’s Tone (Hawkish vs Dovish)

A hawkish tone (focus on inflation, tightening) usually causes crypto to dip.

A dovish tone (focus on growth, easing) can boost risk appetite and support crypto rallies.

3. Market Volatility

Crypto often reacts with increased volatility during and after the FOMC press conference, especially if the Fed surprises markets.