3 Reasons Why Bitcoin Crashed to a 10-Day Low Today and What’s Next

It appears that essentially all relief rallies in the cryptocurrency markets over the past few months have been precisely that, as the firepower is simply not sufficient to provide enough force to change the bearish trend.

The latest such example took place at the beginning of the current business week, as bitcoin was rejected after its push to $65,600 and dropped to a ten-day low of $63,000. Here are some of the potential reasons behind this.

FOMC Uncertainty

Given the timing of this correction, the most obvious first reason appears to be macro, as tomorrow is the next Federal Reserve FOMC meeting. Although the US central bank is widely expected to leave the federal funds rate unchanged at 3.50%-3.75%, this is shaping to be one of the least predictable decisions in recent years.

Markets, experts, and prediction platforms recently assigned roughly a one-in-three chance to a surprise rate increase as policymakers continue to confront persistent inflationary pressures. Although the CPI data for June was a lot lower than expected, the general consensus is that the reading was slightly misleading and perhaps a one-off.

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