Crypto investors are bracing for more uncertainty as potential Federal Reserve could further affect the value of cryptocurrencies.<\/p>\n\n\n\n
Dealt enough blow as a result of crypto’s high volatility, a more aggressive decision will lead to interest-rate hikes that are likely to be up to seven times higher.<\/p>\n\n\n\n
Also, many investors believe that an aggressive central bank decision will affect risky assets, making it difficult for some traders to maintain their bullish outlook on bitcoin and other cryptocurrencies.<\/p>\n\n\n\n
Investors believe escalating tensions in Ukraine could trigger broad market movements.<\/p>\n\n\n\n
According to Ed Moya, senior analyst at Oanda, bitcoin has “really become the ultimate momentum trade and there are so many risks that can trigger a 40% drop out of nowhere.”<\/p>\n\n\n\n
Despite the uncertainties and tighter monetary policy, some investors will bet on the volatility of bitcoin.<\/p>\n\n\n\n
For them, the long-term value promise of blockchain technology, the built-in supply limit and the resulting network effect will endure despite constant price fluctuations.<\/p>\n\n\n