The crypto market is currently under selling pressure, with the overall crypto prices taking a downward turn. Bitcoin price fell by about 4% in the last 24 hours to reach below $22K. BTC is currently trading at $21,130 and is expected to stay below the 200 Weekly moving average.
Ethereum’s price has also fallen by more than 6% in the last 24 hours and is currently trading at $1,423. On-chain data provider Santiment reveals that the ETH’s rally, after the release of the Ethereum Merge date, is dying down and ETH prices are expected to keep on falling. Solana, Avalanche, and Cosmos are other big losers in the crypto market.
Crypto market could be crashing because of the upcoming FOMC meeting on the 27th of July.
A Crucial Week For Crypto Market
Major crypto traders and experts are preparing for a volatile couple of weeks ahead for the crypto market. The most important event next week is the FOMC meeting on the 26th and 27th of July. The Federal Open Market Committee is the Fed’s monetary policymaking body and will make its decision on interest rate hikes.
The last interest rate hike of 75bps caused major turmoil in the crypto markets. The CME FedWatch Tool indicates a 78.7% chance of a 75bps hike and a 21.3% chance of a 100bps hike. However, a major influencer and trader MFHoz, has revealed that the Fed recently expanded its balance sheet to limit the damage from a 100 bps hike.
Other Upcoming Notable Events
The data on the 2nd Quarter US GDP will be revealed on the 28th of July. The data for the first financial quarter showed negative growth in GDP. If the upcoming data repeats the trend, it would indicate that the US is in a recession.
Moreover, major Tech companies such as Google, Microsoft, Meta, Apple, and Amazon will report their financial figures from the second quarter. Data has shown that technology stocks have a strong correlation with the crypto market and any turmoil could result in crashing crypto prices.
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