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Fed turns up the heat on inflation — short Bitcoin as higher rates loom

The new Fed chair signaled he might raise interest rates to fight inflation. Because of that, Bitcoin dropped toward $64,000 as investors ditched riskier assets.

Idea

The Federal Reserve just signaled it might raise interest rates instead of cutting them, which historically puts heavy pressure on speculative assets like Bitcoin. With the new Fed chair taking a tough stance on inflation and warning of tighter money, investors are likely to pull back from crypto. Combined with existing worries about large Bitcoin sell-offs, this creates a strong headwind for prices.

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BTCH4#crypto#macro#rates

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