24/7 Cryptocurrency News

Another Crypto Crash In November As Fed Hints At 0.75% Rate Hike?

As reports suggested that Federal Reserve could raise interest rate in November, Bitcoin (BTC) showed early signs of crypto crash next month.
Published by
Another Crypto Crash In November As Fed Hints At 0.75% Rate Hike?

As reports suggested that Fed could raise interest rate in November, Bitcoin showed early signs of crypto crash next month. The Fed officials are reportedly planning on another interest rate rise of 0.75 percentage point at their meeting between November 1 and 2. Also, the Fed is likely to debate during the meet on indicating a smaller rate hike subsequently in December. Meanwhile, Bitcoin (BTC) price dropped sharply on Friday following the reports confirming Fed rate hike in November.

Advertisement

December Hike Imminent?

The Federal Reserve officials appear to make borrowing expensive to slow down spending activity. According to a Wall Street Journal report, the officials want higher borrowing costs and lower asset prices. This is to slow economic activity by curbing spending, hiring and investment. The officials thereby plan on reducing demand and hence lowering inflation over a period of time. This plan has been evident from the comments made by Fed officials on various occasions in recent times. Meanwhile, it seems that the officials are keen on continuing the rate hike spree in December as well.

On the other side, a section of Fed officials are inclined at stopping the interest rate hike. In this context, it remains to be seen how the crypto market would react to the subsequent rate hike decisions. However, the potential easing of interest rate rise in early next year could possibly see Bitcoin stop correlation with the macro market. In the last few months, BTC remained stagnant at the $20,000 range. Experts view it as a reaction to the prolonged lull in the crypto market amid rising inflation concerns.

Advertisement

Crypto Crash Or Resistance?

In this context, the possibility of yet another crypto crash in November could be fatal to the market in current scenario. It is only in the last few weeks that the markets are encouraging showing signs of recovery. In a latest, experts are predicting that the cryptocurrency market is closer to the end of downturn. Rayne Steinberg, CEO of digital assets investment firm Arca, said recently that the market is closer to the end of the slump than not. Also, any divergence from the correlation in BTC could also mean a much awaited altcoin season. In the current scenario, there are more traders who are willing to take short term profits than hold position for long time. As of writing, BTC price stands at $19,053, down 0.80% in the last 24 hours, according to price tracking platform CoinMarketCap.

Share
Anvesh Reddy

Anvesh reports major crypto updates around U.S. regulation and market moving trends. Published over 1400 articles so far on crypto and blockchain. A proud dropout of University of Massachusetts, Lowell. Can be reached at anvesh@coingape.com or x.com/BitcoinReddy or linkedin.com/in/anveshreddybtc/

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • 24/7 Cryptocurrency News

Senate Banking Committee Releases Updated Draft Crypto Market Structure Bill

The U.S. Senate Banking Committee has released an updated version of the draft Crypto Market…

September 6, 2025
  • 24/7 Cryptocurrency News

Michael Saylor’s Strategy Fails To Make S&P 500 Listing, MSTR Stock Drops

Strategy, led by Executive Chairman Michael Saylor, has been left out of the latest S&P…

September 6, 2025
  • 24/7 Cryptocurrency News

Solana Treasury Company SOL Strategies Gets Approval To List On Nasdaq

SOL Strategies Inc. has received approval to be listed on the Nasdaq Global Select Market.…

September 6, 2025
  • 24/7 Cryptocurrency News

Fidelity, Grayscale, VanEck Dump Ethereum Amid ETH Price Crash

Ethereum (ETH) price fell sharply as Fidelity, Grayscale, and VanEck drove heavy ETF outflows, but…

September 6, 2025
  • 24/7 Cryptocurrency News

Ethereum Treasury Firm SharpLink Confirms Compliance Amid Nasdaq Oversight

SharpLink has reaffirmed its full compliance with Nasdaq rules, dismissing speculation about shareholder approval requirements.…

September 5, 2025
  • 24/7 Cryptocurrency News

Trump Media Acquires 684M CRO for Cronos Treasury, Strikes Deal with Crypto.com

A deal with Crypto.com has led to the establishment of a Cronos Treasury by the…

September 5, 2025