Looming ‘death cross’ may put Bitcoin bull run in danger ahead of Fed meeting

[Fawpac2]

Bitcoin (BTC) wobbled around $40,000 as investors waited for the Federal Reserve to release its new set of economic projections on Wednesday.The market's focus shifted on two important questions: will the United States’ central bank officials signal their intentions to raise interest rates in 2023, instead of 2024? And how much inflation they think would rise in the remainder of 2021 and the next year?In March, the last Fed projection saw 11 Federal Open Market Committee (FOMC) officials agreeing to keep interest rates near zero at least until 2023. That suggested a tightening in Fed's monetary policy in 2024. It would also imply that the Fed might trim its $120 billion asset purchasing program earlier than anticipated.The prospects of "taper tantrums" in the medium run have also increased due to the latest consumer price index (CPI) readings, Fed's preferred gauge to measure inflation. The April CPI data showed that inflation rose to 4.2%. Meanwhile, in May, it rose to 5% for the first time since the year 1992.Source