Looming June FOMC meeting roils Bitcoin market Looming June FOMC meeting roils Bitcoin market

Looming June FOMC meeting roils Bitcoin market

Data via Swissblock

The Fed's course of action is the external catalyst currently moving Bitcoin, according to Swissblock.

Quick Take

  • The Federal Reserve’s actions, specifically its interest rate decisions, serve as an external catalyst that influences Bitcoin’s price movements, as noted by Swissblock.
  • The recent Nasdaq and NVIDIA rallies have not significantly affected the cryptocurrency market, but Swissblock has observed that the fluctuating likelihood of interest rate hikes has impacted Bitcoin’s price movements.
  • Recent events related to the U.S. debt ceiling debate have resulted in a higher-than-anticipated target range for interest rates at the upcoming June FOMC meeting.
  • However, once the debt ceiling was completed, the likelihood of the 25-basis point rate hike decreased from over 50% to 24%, according to Swissblock.
  • With just under ten days to go until the next FOMC meeting, yields on the front end of the curve continue to increase, suggesting further rate hikes.
  • The Consumer Price Index (CPI) report, scheduled for release on June 13, could have a significant impact on the FOMC meeting’s rate decision the following day.
CME Probabilities: (Source: Swissblock)
CME Probabilities: (Source: Swissblock)
US Treasury Yields: (Source: TV)
US Treasury Yields: (Source: TV)

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