What does the crypto industry expect from the Fed's meeting?
Categories: Crypto News
New Delhi: The global crypto industry is awaiting the outcome of the Fed's two-day policy meeting, which will be released on Wednesday. The hawkish stance from the Fed and signals of four rate hikes in 2022 has spooked the global markets lately.However, the crypto traders are showing some signs of recovery, but the volumes have remained muted as the traders are eyeing Fed's commentary on the issue. Clearly, the Fed intends to curb and pump out the easy money policy. The hawkish view from the US central banks hammered the crypto cart and the top coins saw a big drop in their pricing.Market experts believe that the Fed will try to restrain the rising inflation without dismaying the already fragile markets further, without the complete certainty of the success of their plans. Michael Terpin, Founder and CEO, Transform Group, a global blockchain advisory company, said that there had been a general climate of investor fear around the eventual tightening of the unprecedented loose monetary policy of the Fed."The stock market should bear the brunt of this, as there are no buybacks in crypto," he added. "Calling everything risk-on or risk-off oversimplifies the markets." Blockchain technology is here to stay and growing at leaps and bounds, said Hughes from ConsenSys. "This will drive the investments flowing into the space as people and institutions place bets on the industry, building the future of finance and global online culture.""Looking at the timeline, I think investors have to reposition their investment strategies for crypto. This could also mean the rise of the altcoin markets," said Lian from BigONE. Crypto investors need to have a long-term outlook and patience, said the market experts. In the short term, crypto markets are poised to show wild volatile swings."Both the crypto investing and associated innovation are becoming mainstream. Investing in crypto as a value proposition or a value building vehicle is not going to be affected anytime soon," he added.