The post Crypto Inflows Hit $436 Million on Anticipated Fed Rate Cuts appeared on BitcoinEthereumNews.com.

Digital asset investment products recorded $436 million in inflows last week, a paradigm shift after a series of outflows reaching $1.2 billion. Crypto markets have much to anticipate this week, with a key moment on Wednesday as the Federal Open Market Committee (FOMC) decides the scale of September’s interest rate cuts. Crypto Investments Inflows Reach $436 Million Bitcoin (BTC) led crypto inflows last week, bringing in up to $436 million and reversing the negative flows from the week ending September 6. In contrast, Ethereum (ETH) continued to experience negative flows, with $19 million in outflows following the $98 million outflows recorded the previous week. Crypto Investment Inflows. Source: CoinShares The latest CoinShares report attributes Bitcoin’s positive inflows to expectations of a 50 basis point (0.50%) rate cut. Regional inflows support this theory, with the US leading the way, accounting for up to $416 million. Specifically, comments from Bill Dudley fueled optimism. The former New York Fed President stated on Thursday that there was a strong case for a 50 basis point interest rate cut. “I think there’s a strong case for 50, whether they’re going to do it or not,” Dudley said at the Bretton Woods Committee’s annual Future of Finance Forum in Singapore. The FOMC’s interest rate cut decision on Wednesday is a key event that crypto markets will closely watch this week. Traders and investors are preparing for the impact on their portfolios, depending on the policymakers’ chosen rate cut. Data from the CME FedWatch Tool shows a 59% probability of a 50 bps rate cut, compared to a 41% chance of a 25 bps cut. Read more: How to Protect Yourself From Inflation Using Cryptocurrency Fed Interest Rate Cuts Probabilities for September. Source: CME Fed Watchtool JPMorgan also advocates for a 50 bps interest rate cut, but uncertain…

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Filed under: News - @ September 16, 2024 6:25 pm