The post With Crypto Prices Down After FOMC Meeting, Could New ICOs Provide a Safe Haven? appeared on BitcoinEthereumNews.com.

Crypto prices have plunged this week following the FOMC meeting on Wednesday. However, it’s been business as usual for ICOs, illustrating that these newer projects could help investors balance portfolios and dodge the market’s sweeping volatility. No Surprises on FOMC Outcome, but Market Braces For Less Rate Cuts in 2024 The market is repricing amid a growing certainty of just one interest rate cut in 2024. As expected, Wednesday’s United States Federal Open Market Committee (FOMC) meeting decided that interest rates will remain unchanged between 5.25% and 5.5%.  Fed Chair Jerome Powell explained to the media that central bankers are waiting for more progress in inflation reduction before implementing a rate cut. “Inflation has eased over the past year but remains elevated,” was the overarching message from the FOMC meeting statement. The statement also said, “In recent months, there has been modest further progress toward the Committee’s 2 per cent inflation objective.” The CME FedWatch Tool data reflects the market bracing for less dovish monetary policy in 2024. In January 2024, expectations were over 65% for a sub-4% interest rate by the end of 2024. That figure is below 1% today. Based on recent data, the target rate probability for December 2024 is 4.75-5%. Indeed, the dramatic flattening in macroeconomic expectations has taken its toll on crypto prices, with Bitcoin down 5% this week, while Ethereum is down 7%, and BNB and Solana are down 14%. Some crypto analysts see this as an overreaction to neutral market developments and anticipate a correction to the upside to follow. The FOMC was dovish. The FED are seeing a cut this year. The market had a 1 or 2 cut this year as a base outlook.The market will realize this soon and it will pump. — Ran Neuner (@cryptomanran) June 13, 2024 Meanwhile,…

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Filed under: News - @ June 14, 2024 3:26 pm