Cryptocurrency The volatile movement in the world continues. The downward and upward movement in prices has also tired investors. When there is a small upward movement, hopes are renewed, but the declines that occur immediately afterwards give way to despair again. As September approaches, an important assessment came today regarding Bitcoin.
Nvidia and Bitcoin Became Fallen Giants Together
Matrixport released a report regarding Bitcoin today. According to this, BTC historically, it has generally performed negatively in September. This year, there are factors that will challenge the cryptocurrency even more. The future of the US technology sector after Nvidia’s earnings estimates, the Federal Reserve’s policy decisions and the upcoming US presidential election debates (Harris-Trump) could have a big impact on Bitcoin’s price movements. A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
According to Matrixport, from the end of 2022 to the second quarter of 2024 Nvidia and Bitcoin have been observed to have a strong correlation. However, in recent times artificial intelligence While the recovery in the space has sent Nvidia shares soaring, Bitcoin has not been able to match it. Both assets are seeing new lows, signaling that the market is gaining depth.
US employment data, due on September 6, will play a critical role in determining the direction of the markets. At the end of 2022, most economists predicted that the US economy would enter a recession in 2023. However, the Federal Reserve’s focus was solely on controlling inflation. Speaking at the Jackson Hole conference, Fed Chair Powell emphasized that the labor market was now the main focus.
Bitcoin and the Interest Rate Cycle
Bitcoin struggled during the interest rate hike cycle in 2018-2019, but recovered strongly after the Fed stopped increasing interest rates. However, after the interest rate cut, Bitcoin experienced a brief recovery and then fell again. According to Matrixport, the general trend still seems to be downward.
September looks set to be one of the biggest challenges for Bitcoin in history. The deepening consolidation in cryptocurrency markets could have a decisive impact on Bitcoin’s future price movements. Especially US employment data and Fed policies are of critical importance to Bitcoin investors. At the time of writing, we see that the price of Bitcoin, the flagship of cryptocurrencies, is trading at $ 59,530.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
