Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View More
Crypto Sell-off Forces Coinbase to Cut Jobs, Fed Rate Decision Looms

Crypto Sell-off Forces Coinbase to Cut Jobs, Fed Rate Decision Looms

Tammy Da Costa, Analyst

Bitcoin, Ethereum, Coinbase Talking Points

Cryptocurrency Trading
Cryptocurrency Trading
Recommended by Tammy Da Costa
Get Your Free Introduction To Cryptocurrency Trading
Get My Guide

Persistently high inflation remains at the forefront of risk sentiment proving that the days of Bitcoin being perceived as a hedge against inflation are long gone. In response to Friday’s US CPI report, a higher probability for the Fed to hike rates by 75bps tomorrow resulted in a broad sell-off in risk assets, dragging the crypto market cap with it.

Visit the DailyFX Educational Center to discover how central banks impact Forex

With the FOMC meeting currently underway, the crypto massacre has taken a slight breather, allowing Bitcoin to find support above the key $20,000 handle. Although fundamentals have been priced in (to a certain extent), the Fed interest rate decision and the accompanying Press Conference may still provide an additional catalyst for price action if further monetary tightening measures are announced.

DailyFX Economic Calendar

As digital assets remain vulnerable to wanning sentiment, Coinbase CEO Brian Armstrong announced that the largest US crypto exchange would be reducing their workforce by 18%, bringing the health of the industry into question.

Trading Forex News: The Strategy
Trading Forex News: The Strategy
Recommended by Tammy Da Costa
Trading Forex News: The Strategy
Get My Guide

With Bitcoin currently trading at December 2020 levels, key technicals may provide additional layers of support and resistance for the imminent move.

For now, the key $20,000 psychological level holds as critical support with a break below opening the door for two major Fibonacci levels residing at $18,397 and $17,569 respectively. Meanwhile, the MACD (Moving Average Convergence/Divergence) continues to trade below the zero line,suggestive that bears remain as the prominent drivers of price action, at least for now.

Bitcoin (BTC/USD) Daily Chart

Source: TradingView, Chart by Tammy Da Costa

The Quiz
Discover what kind of forex trader you are
Start Quiz

--- Written by Tammy Da Costa, Analyst for

Contact and follow Tammy on Twitter: @Tams707

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.