Cash News
Bitcoin
Bitcoin
Unlock over $3,000 in perks including unparalleled access to a community of top Web3 entrepreneurs, creators, and investors, providing you with premium networking, priority access to global events, Free access to Forbes.com and our Forbes CryptoAsset & Blockchain Advisor newsletter. Apply now!
The bitcoin price has dropped after surging back toward its all-time high of over $70,000 per bitcoin as the market weighs the impact of a China earthquake.
Now, as Elon Musk reveals the details of his secret meeting with El Salvador’s bitcoin-backing president Nayib Bukele, BlackRock’s chief executive Larry Fink has warned he thinks the market needs to temper its expectations of Fed interest rate cuts—while analysts think China’s central bank will create “fireworks” with a “tsunami of liquidity.”
Sign up now for the free CryptoCodex—A daily five-minute newsletter for traders, investors and the crypto-curious that will get you up to date and keep you ahead of the bitcoin and crypto market bull run
BlackRock chief executive Larry Fink has warned the Federal Reserve is unlikely to cut interest … [+]
“The amount of easing that’s in the forward curve is crazy,” Fink, who’s led BlackRock to become the world’s largest asset manager looking after $10 trillion on behalf of clients, told Bloomberg on the sidelines of a Berlin conference. “I do believe there’s room for easing more, but not as much as the forward curve would indicate.”
Traders are betting there’s a one-in-three chance the Fed will cut another 50 basis points from interest rates at its November meeting, with a further 190 basis points shaved off before the end of 2025, money market data shows.
The market was caught somewhat off guard by the Fed’s 50 basis point interest rate cut earlier this month—its first post-pandemic era reduction—widely expected to kick off a monetary policy easing cycle that could boost risk-correlated assets such as bitcoin and crypto.
Sign up now for CryptoCodex—A free, daily newsletter for the crypto-curious
The bitcoin price has surged this year, in large part due to expectations the Federal Reserve is … [+]
However, Fed chair Jerome Powell played down chances of another 0.5% cut in a speech on Monday, saying officials “are not on any preset course.”
Meanwhile, traders have been told to “expect fireworks” by analysts David Brickell and Chris Mill, who wrote in their newsletter that they see the bitcoin price hitting fresh all-time highs this week, pointing to China’s long-awaited announcement of huge stimulus measures designed to reignite its stalled economy.
“The steps taken from China this week will unleash a tsunami of liquidity. Alongside the Fed more aggressively cutting and a global easing cycle, we’re pumping in anticipation of that, but against this short term liquidity drain,” Mill and Brickell wrote.
“They say don’t fight the Fed. Also don’t fight China. Definitely don’t fight the Fed and China together.”