Today, high volatility is expected in the cryptocurrency market due to several important economic and political events.
White House Report on Crypto Assets
One of the key developments is the release of the White House report on the feasibility of a national crypto stockpile. This report could hint at the government's serious approach to crypto assets, which would be seen as a long-term bullish signal for digital assets.
U.S. GDP Data and FOMC Decision
Shortly, the U.S. Q2 GDP data will be released, with expectations for a growth rate of 2.3%, indicating that the economy is continuing to expand. These figures could calm recession fears and rebuild trust in risk assets like cryptocurrencies. Focus will then shift to the Federal Open Market Committee (FOMC) decision, where a lack of interest rate cuts is expected.
Powell's Tone and Market Impact
The key factor today may not be the policy decision itself, but the tone with which Federal Reserve Chair Jerome Powell speaks. There are suggestions that former President Donald Trump recently had a private meeting with Powell and believes Powell will 'do the right thing.' If Powell hints at future rate cuts or raises concerns about economic stability, it could spark a new wave of buying in the crypto markets.
Given the intensity of the ongoing economic and political events, volatility in the crypto market is almost guaranteed. Today may become a pivotal moment for the next leg up in digital assets.
