Why is Bitcoin booming on the fringes?

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Bitcoin rallied today despite concerns in the broader markets. Investors are keeping their eyes peeled for the so-called “Fed pivot,” or loosening of interest rates by the U.S. central bank. The markets seem to be pricing in negative developments in the US economy, as worrisome factors, the idea that the hard numbers will force the Fed to reconsider rate hikes.

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Bitcoin released some surprising findings today. Stocks also performed well for the second day in a row.

Funny markets

Despite the tumultuous macro landscape, Bitcoin, stocks and other stocks are making gains so far this week.

The moves are surprising given the recent intransigence from the Federal Reserve, which has been steadfast all year in its commitment to raising interest rates. Risk assets like stocks and crypto typically suffer from such moves, but the Fed has shown little sign that it's willing to slow down.

Interestingly, however, investors seem to be watching for signs of weakness in the U.S. economy (e.g., Today's report From the Bureau of Labor Statistics, it shows a decrease in the number of job vacancies – from 11.2 million to 10.1 million) positive signs for the markets. The rationale behind such aggressive behavior is that clear signs of an economic downturn could force the Fed to reconsider its policy.

That hope comes amid calls yesterday from the United Nations for the Federal Reserve to significantly slow or even stop interest rates. In a published report Yesterdaythe United Nations Conference on Trade and Development argued that the Fed's rate hikes risk triggering a recession.

the so-calledassigned pole” It will be a good development for crypto investors, at least in the short term.. Market watchers have worried all year that the Fed's aggressive rate hikes could shrink the economy and lead to a full-blown recession. However, any sign from the Fed is that it intends to stay the course, with Chairman Jerome Powell saying this August that “Pain” in the future.

At the time of writing, Bitcoin's daily gain is coming in at around 3.64%; But the exit is. Refreshing A brutal and prolonged bear market. In fact, while stocks are up today, Bitcoin has been largely unscathed by the turmoil in the stock market over the past week. This gave some weight to the oft-quoted theory that Bitcoin could one day Solving From stock performance, however, the markets need to generate much more data before such a trend can be confirmed.

Disclosure: At the time of writing, the author of this article owns BTC, ETH and many other cryptocurrencies. The material presented in this article is for informational purposes only and should not be considered investment advice.

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