Investors Remain Cautious Before the Fed Make Their Move Blockchain News, Opinion, TV and Jobs

Marcus Sotiriou, Analyst At a Listed Digital Asset Broker global block (TSXV:BLOK).

Bitcoin and cryptocurrency markets made a big rally yesterday before finding resistance at $19,666, the top of the 2017 bull market. Bitcoin is trading below $20,000 for now as investors are very cautious ahead of tomorrow’s Federal Reserve Board decision, followed by a press conference with Chairman Jerome Powell.

The market is currently pricing in an 82% chance of a 75 basis point hike and an 18% chance of a 100 basis point hike. The possibility of a rate hike of at least 75 basis points is fully priced in by investors, so I think we can price in a 75 basis point hike in the short term. However, central banks are so aggressive that any short-term rally could be short-lived.

In addition to tomorrow’s Federal Reserve decision, there will be a Bank of Japan monetary policy decision and a Bank of England interest rate decision on Thursday, as well as a leading index from the U.S. Congress Committee – early unemployment claims. So we are all set for a very volatile week as investors clarify the central bank’s decision.