The top cryptocurrency Bitcoin is undergoing a ‘volatility squeeze’ that has led to a prolonged sideways movement. This could be affected by several upcoming macroeconomic events. On July 15, 2023, the daily trading volume for Bitcoin was $8.01 billion, a dramatic drop from the day before. Investors will be looking closely at the Federal Open Market Committee (FOMC) meeting on July 26th, 2023 as previous US Fed meetings have initiated a volatile cycle for Bitcoin. The U.S. PCE inflation data will be released on Friday, July 28th, 2023. The CME FedWatch Tool Projections suggest there is a 99.2% likelihood of an increase in interest rates to 525-550 basis points at the next meeting.
US Presidential candidate Robert F. Kennedy Jr. is expected to give a lengthy speech on Bitcoin in an interview. He had promised to support the US Dollar and exempt cryptocurrencies from taxes.
Meanwhile, a bearish phase may soon affect the US stock exchanges and cause a correction in the coming days. The S&P 500 Index is currently experiencing a rare bullish run with a decline of less than 1 % in up to eight consecutive weeks. Debate around artificial intelligence linked stocks have recently helped maintain buoyancy in the S&P 500, which has a historical correlation with the crypto market.
