Important day in cryptocurrency market: What are the expectations?

Today is an important day in the cryptocurrency market, as the US Federal Reserve System (FED) is expected to announce the decision regarding interest rate increase on the evening of September 21, cryptocurrency expert Elnur Guliyev told Report.

He noted that currently, the cryptocurrency market is moderately stable. The price of bitcoin ranges between $18,000-19,000.

“Today, the main expectation is related to interest rates. If the interest rate forecast is increased by 1%, we will see a collapse in the cryptocurrency market and the financial market in general. We can also say that the prices will go down.

"Currently, the cryptocurrency market is very closely correlated with the general stock market. Thus, the cryptocurrency market prices follow the famous S&P 500 and Nasdaq indices.

"If the base is increased by 1%, this will raise the US dollar index and, on the contrary, the prices in the stock market and cryptocurrency market will decrease,” Guliyev said.

The expert reviewed another possibility:

“If the rates rise by 0.75%, these expectations will remain as expectations. And it is possible that in a certain period, cryptocurrency prices will rise. But this will be temporary. It can be observed that the general trend is going down amid the news of global financial stress and the recession in the US economy. This situation may even cause the price of bitcoin to fall between $14,000 to $15,000 in the coming months.”

Bitcoin is currently the most expensive cryptocurrency. The price of one token is $18,891. Ethereum is second at 1,338, followed by Tether at $1