Bitcoin sinks 4% before Fed after mixed investment launch
economictimes.indiatimes.comBitcoin sank Wednesday before the US Federal Reserve's interest rate call, and after a mixed launch in Hong Kong of investment products tracking the world's top cryptocurrency and rival ether.
At about 1450 GMT, bitcoin slid 4.26 per cent to $57,315, having earlier plumbed a more than two-month low at $56,527.
The US central bank is forecast to keep rates on hold after a regular policy meeting later Wednesday, but accompanying statements could hint at when cuts may begin or not.
«Bitcoin prices have fallen back to their lowest level since February today,» Tickmill analyst James Harte told AFP.
Did you Know?
The world of cryptocurrencies is very dynamic. Prices can go up or down in a matter of seconds. Thus, having reliable answers to such questions is crucial for investors.
View Details»«Fears of a hawkish shift from the Fed are amplifying the selling with traders bracing for a firmer dollar on the back of the (decision) tonight,» which would make cryptocurrencies less attractive to hold.
Markets have pushed back expectations for when the Fed will start cutting interest rates in light of elevated US inflation.
Those hopes had previously helped bitcoin blaze a record-breaking trail.
«Expectations of forthcoming Fed
