Massive $170 Million Liquidations Hit Crypto Market Ahead of Fed Announcement

As a seasoned researcher with over a decade of experience in financial markets, I have seen my fair share of market volatility, and the current state of the cryptocurrency market is no exception. With $170 million in liquidations, it seems that the recent surge in Bitcoin’s price has been met with significant selling pressure.


1. At the moment, the crypto market is experiencing a wave of sell-offs, resulting in approximately $170 million worth of liquidations being reported.

Based on information from CoinGlass, approximately $160.67 million worth of crypto assets were liquidated. A significant portion of this amount, around $136 million, can be attributed to bullish wagers.

Traders significantly boosted their long positions on Bitcoin over the weekend, taking its price close to $70,000 during Monday’s trading session; however, this trend has since shifted as traders worry about possible selling by the U.S. government and the outcome of the most recent Fed meeting.)

The cryptocurrency market, including Bitcoin, experienced a downturn as investors reacted to indications that the US government could be selling off a significant portion of its Bitcoin holdings. According to reports from blockchain intelligence firm Arkham Intelligence, an American government-linked wallet moved approximately $2 billion in Bitcoin to a new digital address on Monday.

1. On Tuesday, Bitcoin hit a low of $65,875 before slightly recovering to trade near $66,330 at the current moment. Just a day earlier, the leading cryptocurrency almost touched $70,000 for the first time since mid-June.

The majority of cryptocurrencies were also sustaining losses at press time.

Fed decision looms

The Federal Reserve’s most recent policy session is generating significant attention from investors as it may reveal important clues about the upcoming shifts in interest rates and monetary policy.

Beginning on Tuesday and concluding on Wednesday, the Federal Reserve will hold its July meeting during which they will make a decision regarding monetary policy. Following this decision, Chairman Jerome Powell will conduct a press conference to share more information about the Fed’s plans.

As a seasoned investor with over two decades of market experience under my belt, I have learned to keenly observe central bank decisions and their impact on the financial landscape. This week, it appears that markets are generally expecting the central bank to maintain its current interest rates. However, as someone who has witnessed countless economic cycles, I am hopeful that policymakers will offer fresh insights about the future trajectory of rates. Such signals can significantly influence investment strategies and long-term financial planning, making them a crucial part of my decision-making process.

On Taylor coming up, significant economic information is set to be unveiled. Among the forthcoming events this week, the ADP’s private employment report and the July jobs update, encompassing nonfarm payrolls and jobless figures, are highly anticipated releases.

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2024-07-30 18:48