The Magazine for Asian Investors
Bitcoin fell below $36,000 today as investors fear that the Federal Reserve’s (Fed) rate hikes and balance sheet tightening (Quantitative Tightening: QT) will weigh on liquidity in the market.
Bitcoin fell 1.14% to $35,901.75.
Bitcoin falls in line with the stock markets as investors fear that the Fed may raise interest rates by 0.75% at its June meeting. Although Fed Chairman Jerome Powell said that the Fed is not yet considering a serious rate hike.
- The Dow Jones Industrial Average closed at 32,899.37 points, down 98.60 points or -0.30%.
- The S&P 500 index closed at 4,123.34, down 23.53, or -0.57%.
- The Nasdaq index closed at 12,144.66, down 173.03, or -1.40%.
Experts say that Bitcoin has fallen below the important support at $37,500, which signals a downward trend. Moreover, it can go further down to test $30,000, which, if the level cannot be supported, will cause Bitcoin to fall further to the $25,000 level.
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Saturday, May 7, 2022