Crypto Stable, Market Remains Undecided Awaiting Fed Signal
The cryptocurrency market on Wednesday, moved relatively stable after sharp volatility at the beginning of the month. Bitcoin held steady around $87,000 per coin, while Ethereum strengthened slightly above $2,900, with volatility beginning to subside compared to last week. Several market indices indicated sentiment remained in the "extreme fear" zone, indicating investor caution despite easing selling pressure. Major altcoins generally moved flat, with only a few coins recording price spikes due to specific catalysts.
Fundamentally, the main catalyst remains expectations of a Fed interest rate cut in December. The derivatives market is now pricing in the chance of a rate cut above 80% following weaker US economic data and a series of dovish comments from central bank officials. A lower interest rate environment is typically positive for risky and speculative assets like crypto, as yields on fixed-income instruments decline and encourage investors to seek alternatives. However, Bitcoin's sharp correction throughout November and the outflow of funds from several crypto ETFs have made the recovery slow and selective.
On the capital flow side, recent data shows reduced trading activity and many market participants opting for temporary refuge in stablecoins, with major exchanges like Binance still dominating volume. Domestically, local reports note that Bitcoin experienced only a slight correction today, in line with global consolidation. Moving forward, crypto market participants will focus on the Fed's decision next month and Bitcoin's key technical level around $90,000 to determine whether the new rally can continue or the market re-enters a phase of selling pressure.
Source: Newsmaker.id
