ES1 - US stock market futures
Yesterday I mentioned how the fate of Bitcoin and altcoins in the near term will be determined by what happens in the stock market. For those new to the channel this is because both are correlated and are trades as risk on asset.
Today we have the Fed meeting taking place where they will decide on how much that hike up the interest base points. Many are fearing we see a 100 basis point which in my opinion is worst case scenario and will send the stock market and Crypto tumbling.
The other scenario is a 75 basis point increase which is expected by many analysts and could see stock markets and Crypto react positive.
Looking at the stock market chart after last weeks price action we have a lot of unfinished business higher up and we could see these fill if there is positive outcome. If it's the dreaded 100 basis point then 3840 point support would likely break and panic will set in. One thing is for sure volatility is just around the corner