Originally published on: August 01, 2024
Bitcoin remained subdued as Wall Street opened on August 1, showing little reaction to the latest central bank interest rate cuts.
According to data from Cointelegraph Markets Pro and TradingView, BTC’s price struggled to gain momentum, dropping 2.4% the previous day.
Despite the Federal Reserve’s dovish tone at its meeting, hinting at a potential rate cut in September, Bitcoin continued its downward trend.
Fed Chair Jerome Powell suggested in a press conference that a rate cut may be on the horizon once inflation shows sustainable movement towards 2 percent.
While markets had already factored in a 100% chance of a rate cut in September, with expectations of a 0.25% reduction, Bitcoin failed to rally. The cryptocurrency hit local lows of $63,400, its lowest since July 19.
Traders on social media expressed mixed sentiments about Bitcoin’s price action, with some anticipating a short squeeze in the near term.
QCP Capital highlighted the launch of US spot Ether exchange-traded funds as a potential catalyst for crypto market sentiment.
Despite the sell-off in crypto following the Fed’s announcement, QCP emphasized the potential impact of discussions among US presidential candidates on the cryptocurrency landscape.
This article serves as a general overview and does not provide investment advice. Readers are encouraged to conduct their own research before making any financial decisions.
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