Will the crypto market recover as the Fed's rate hikes slow down?

[MrSpasybo]

Today, we just got information from the FED and got +0.75% as we expected. There's no surprise to this figure, and the market hasn't changed much.
It is worth noting that BTC and Altcoin prices have fluctuated wildly, rising and falling around the time of the announcement from the FOMC. I can only call it madness!

Financial experts believe that the interbank interest rate in the US will be around 5-6%, so in December 2022 and 2023, FED will no longer be able to increase 0.75% in each interest rate adjustment. This can be a good condition for the economy to recover and crypto can also receive new money flow after 1 year of downtrend.

Do you think this can happen in 2023? Or will the large amount of money in the market make inflation worse and FED can continue to be aggressive in raising interest rates to slow down the economy?

[KryptoBull]

After the event of Fed, the crypto market is growing very strongly and the capitalization has surpassed 1T. This really surprises me because Stock is going through a massive correction. I think the crypto market moves with the general economy but crypto has its own bottoms. If so, now is a good time to start DCA and get ready for the market rally after crypto winter.

[Afony]

It is noticeable how the cryptocurrency has grown after the event, let's hope that this will continue further. All investors expect good growth from the cryptocurrency after a strong fall, it will be good if the growth continues.

[therozaq]

It is noticeable how the cryptocurrency has grown after the event, let's hope that this will continue further. All investors expect good growth from the cryptocurrency after a strong fall, it will be good if the growth continues.

Yeah, crypto will pump after event .
So easy to see crypto will pump during bearish and all depends on bitcoin performance.
When bitcoin dumps, I think all crypto currency will dump.
That's the fact.

[mu_enrico]

With a 4% rate, inflation still exists, so it's likely they will increase the rate again. I'm afraid even if they keep the 4% rate, the market won't likely recover. The market needs the FED rate to go down, just like on QE. The first half of 2023 will be bad for the market since the equilibrium hasn't been met, which means that there will be more adjustments. FYI: "Rates are expected to peak at 4.5% to 4.75% in 2023"

[Speaker]

It is necessary for the rate to stop increasing, then for some time to monitor the situation, not to raise it and, if everything is fine, only then start reducing. It may take a year.

[Phonometer]

The volatility makes it unpredictable. One can never say when the market will recover or go down more.

[TomPluz]

Bitcoin can be going and up and down for no reason at all and that is volatility at its core. Now, from time to time, there are many external factors that can directly and indirectly affects its demand hence the price can go south or north without notice. In the past months, FED's rate hikes had been a very significant force for Bitcoin though personally I still don't see why this should be but again the market can be reacting to anything either good or bad and there is nothing we can do but to go along. I am expecting that despite the FTX contagion Bitcoin will be stronger in the first quarter of 2023 as the smoke will slowly be cleared at that time.