Benjamin Cowen shares his view on Bitcoin as we head into the upcoming FOMC meeting.
Key Points
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The market expects a 25 basis point rate cut. Anything different (no cut or 50 bp) would be a surprise and could shake prices.
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Quantitative tightening (QT) ending is possible but not likely now since stocks, gold, and Bitcoin are already near all-time highs.
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Bitcoin’s pattern looks similar to past years. Often it dips in early September, bounces, and pushes higher into October.
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A seasonal pullback in the S&P 500 (around 5%) could briefly slow Bitcoin near all-time highs.
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Historically, October is strong for Bitcoin. In 2017, 2020, and 2021, Bitcoin broke or approached all-time highs in October.
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During FOMC announcements, the first market reaction is often misleading. A quick move up or down can reverse shortly after.
Outro
Benjamin suggests staying patient. October could be key for Bitcoin, but short-term moves around the FOMC meeting might be noisy and tricky.
