Crypto Better Days Coming: UN Urges The Federal Reserve Not To Hike Interest Rates

2022-10-4 08:42

Crypto prices immediately came crashing down after Federal Reserve Chairman Jerome Powell announced they are increasing interest rates during an economic summit on September 21.

Now, in a not-so-delayed reaction, the United Nations is calling on the U.S. central bank and other large western regulators not to continue raising their interest rates, a UN agency says.

The Fed and other central banks worldwide raised their interest rates with the objective of containing the onslaught of inflation.  The UN Conference on Trade and Development (UNCTAD) warns, however, that this could trigger a worldwide economic crisis.

JUST IN: United Nations says the FED and other central banks risk pushing the global economy into recession if they keep raising interest rates.

— Watcher.Guru (@WatcherGuru) October 3, 2022

Better Days Ahead For Crypto?

UNCTAD published its Trade and Development Report 2022 on Monday, in which it expressed concern about the possibility of a global economic calamity brought on by the Fed’s rigid monetary policy, the effects of which would be felt most severely in developing nations.

“Any belief that they (central banks) will be able to bring down prices by relying on higher interest rates without generating a recession is… an imprudent gamble,” the agency said.

The market immediately reacted negatively to Powell’s reiteration that the Fed must maintain its fight against rising inflation by further increasing interest rates.

As has been the case over the past few months as the prices of Bitcoin and Ether have been increasingly tied to the stock market, the Bitcoin price and the larger crypto market followed suit.

Current Fed Policy Hurts Vulnerable People Globally

“Current policies are harmful to vulnerable populations everywhere, especially in developing nations. Rebeca Grynspan, the UNCTAD secretary-general, made these remarks at a press conference in Geneva.

Market analysts at Bitfinex, a cryptocurrency exchange headquartered in the British Virgin Islands, have issued the following statements through email:

“The cryptocurrency market, like other risk assets, is extremely sensitive to comments made by the Federal Reserve, and it has been recently impacted by the Fed’s rate hikes.”

As of this writing, Bitcoin is trading at $19,603, up 3 percent in the last seven days, data from Coingecko show, Tuesday.

A Recession Would Benefit Crypto?

Meanwhile, predictions on how cryptocurrency prices would behave during a recession are all over the map. While the consensus is that the value of crypto assets will plummet in the event of a stock market crash, an opposing viewpoint is gaining ground.

A recession, which American investor Stan Druckenmiller believes will happen next year, would be good for the cryptocurrency sector as a whole, he says.

Druckenmiller pointed out that a growing lack of trust in governments and their central banks could be good news for cryptocurrencies. Because Bitcoin is decentralized, market watchers believe it will likely diverge from the pack and increase in price.

Some analysts believe that as Bitcoin rallies – whether the Fed hikes its rates or not – so will other major cryptos like Ethereum, Tether, and Dogecoin.

The Fed easing its current stance on interest rates could have a healing effect on the overall health of the crypto markets.

When the Federal Reserve meets again on November 4, they will decide if interest rates will be allowed to climb again. And with the UN now breathing heavily down its nape, the Fed must get back on the drawing boards and chart its next move.

BTC total market cap at $376 billion on the daily chart | Source: TradingView.com Featured image from BGR, chart from TradingView.com

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Emerald Crypto (EMD) на Currencies.ru

$ 0 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 4.67 %
Cегодня L: $0 - H: $0
Капитализация $0 Rank 99999
Цена в час новости $ 0.0095806 (-100%)

interest rates reserve federal crypto increasing summit

interest rates → Результатов: 126


60% Of German Banks’ Charge Negative Interest Rates, ECB Says It Could Give Rise To ‘Bigger Risks’

Nearly 60% of German banks are charging negative interest rates from corporate clients on deposits while 23% are doing the same for retail customers, revealed a survey by the German central bank. Two weeks after the European Central Bank cut interest rates deeper into negative territory, from minus 0.4% to minus 0.5% in mid-September, the […]

2019-11-21 23:58


Negative Interest Rates Driving Institutional Investors to Bitcoin: Crypto Trends Report

With negative interest rates making their way into major economies around the world, what impact it will have on Bitcoin? CoinShares, a digital asset management firm released its Crypto Trends Report for November 2019, where it talks about how the negative interest rates are pressuring the traditional banking model and shifting the investment strategy. As […]

2019-11-17 20:30


[VIDEO] Crypto Daily Recap: Bitcoin and Blockchain News For Today November 5th

California Student Owes $400,000 To IRS For Crypto Gains, Staked $5,000 Into $880,000 California Student Owes $400,000 To IRS For Crypto Gains, Staked $5,000 Into $880,000 Compoud Creator Robert Leshner: Rising Interest Rates Could Negatively Impact Cryptocurrency Compoud Creator Robert Leshner: Rising Interest Rates Could Negatively Impact Cryptocurrency Litecoin (LTC) Creator: No One Can Ever […]

2018-11-6 07:46


Фото:

CME Report: Bitcoin Futures Trading 41 Percent Up from Q3 2018

The Chicago Mercantile Exchange (CME), one of two major providers of Bitcoin Futures in the U.S., revealed trade volumes increased 41 percent in Q3 2018 with interest rates up by 19 percent. Booming Bitcoin Futures Market While the retail cryptocurrency market has taken a downturn in 2018, the institutional-focussed Bitcoin futures market seems to be […] The post CME Report: Bitcoin Futures Trading 41 Percent Up from Q3 2018 appeared first on CryptoSlate.

2018-10-19 13:00


Фото:

Joe Crypto: The Market Calls The Shots

We can try and make sense of yesterday’s absolutely brutal market correction, where the bottom fell out of crypto and dragged most of the market with it for a few heart-wrenching hours. The New York Stock Exchange had its worst day for eight months, rising interest rates in the US drew the ire of the […] The post Joe Crypto: The Market Calls The Shots appeared first on Crypto Briefing.

2018-10-12 23:53


Former JPMorgan Executive Says Banks Know Cryptocurrencies Will Change the World

Traditional financial institutions have begun to notice how cryptocurrencies are disrupting their market. Salvador Casquero, former JPMorgan Head of Scandinavian Interest Rates Trading and Head of FX Sales at BBVA, two of the largest banks in the world, has said that banks have officially lost the race of finance to crypto and rapidly emerging fintech […]

2018-7-22 00:13


From Crypto To Interest Rates: A Sentiment Analysis Of Q1 2018 Earnings Calls

Today we published our quarterly Sentiment Analysis Report, which summarizes last quarter’s top keyword searches and provides detailed sentiment analysis across all industries. We used Sentieo’s Transcript Sentiment Analysis feature to analyze earnings call transcripts and discover which topics companies discussed the most last quarter, versus the same quarter in 2017. [timeless] Q1 hedge fund […]

2018-6-30 09:23