As the US economy grapples with rising inflation expectations and scaled-back forecasts for Federal Reserve rate cuts, the Bitcoin market remains buoyant, according to a detailed analysis by Reflexivity Research. With the US CPI headline inflation projected to accelerate to 4.8% by the November 2024 elections, according to Bank of America, conditions are seemingly unfavorable for a loosening of monetary policy. Despite this, the cryptocurrency sector, particularly Bitcoin, appears insulated and optimistic. Bitcoin Unfazed By Delayed Rate Cuts? The bond market now anticipates only three Federal Reserve rate cuts this year, a significant reduction from the earlier forecast of six. The CME FedWatch tool indicates that the majority of market participants do not expect a rate cut to occur before the mid-September FOMC meeting. This adjustment reflects a recalibration of expectations regarding the Fed’s capacity to manage persistent inflation pressures. Amidst these macroeconomic shifts, Ritik Goyal, in a guest post for Reflexivity Research, presents a compelling analysis in his report titled “The Fed is Unable to Cause a Recession. Risk Assets are Yet to Realize This.” Relate ..
Support the originator by clicking the read the rest link below.
