The FED, Banking Crisis, and Bitcoin | What you need to know

Bank runs Bitcoin pumps and anticipation That a new bull market might happen soon In today's video I'm going to be going Over the details of yesterday's fomc Meeting why it was so important and how It caused Bitcoin to pump another 26 and I'll also be sharing with you towards The end of this video my thoughts on This Market because if you have been Keeping up with the previous crypto Market updates that we've been doing on This channel about every week you'll Know that hit say it a lot of this has Been expected so first of all in the Hour leading up to yesterday's fomc Meeting Bitcoin was trading around the 28 500 price level now keep in mind There is importance at 28 500 because This has been shown to be heavy Resistance taking a look at your screen That orange line is going to represent Exactly what Bitcoin has been trying to Break through for the past four days but Hasn't been able to it's worth noting Though that once Bitcoin does break Through and hold that level we could see It shoot up past thirty thousand dollars Where it would find its next resistance Point now the last time Bitcoin was Above a 30 thousand dollars was early June of 2022 so just under a year ago Taking a look at the broader crypto Market index right now we're sitting at Over 1.19 trillion dollars and you'll

Notice that there is a fair amount of Green even on this Thursday towards the End of this week by the way there's been Some other news with some other top all Coins we have xrp moving up number six On the top crypto list and we actually Talked about this in one of our previous Top crypto picks video and it looks like With some developments happening with Their case xrp is getting some bullish Movement as well that is exactly what I Talked about how xrp is leading more Towards the side that they are going to Win this case and if they do we would be Seeing some more upside with that crypto In addition to that we have cardano even Things like Dogecoin Solana a lot of Different cryptocurrencies pumping Alongside what Bitcoin has been doing One crypto in particular one that I have At least a couple hundred thousand Dollars worth of positions in is going To be ethereum and unfortunately Ethereum hasn't been pumping drastically As Bitcoin we've actually been seeing Bitcoin pumping even more more than a Lot of these other all coins so just a Lesson to be learned if you choose to Invest into crypto right now you can't Go wrong with Bitcoin a lot of people Will choose all coins thinking that in a Bear Market you're going to be seeing The same effects we're in a bull market All coins go up 50 where Bitcoin would

Only go up 10 in instances like this It's not always the case where Bitcoin Right now we're actually seeing it do Far much better than a lot of the other All coins by the way if you are trying To open up a position within the crypto Market you know how volatile it can be Bitcoin is still going to be the safest Crypto to invest in just because of the Size of the market cap and the risk risk Return level that we're seeing right now I'd say is pretty solid so going back Into the huge ordeal and pretty much What is determining what's going to Happen with stocks and crypto markets Like is going to be the result on what The federal government does especially With what they announced within that Fomc meeting pretty much yesterday we Got word the last CPI reports show that Inflation on all items actually Rose by Point four percent in February and core Inflation which is what the federal Government really watches rose by point Five percent this year indicated to pow That inflation is still Rising despite The aggressive monetary policy this also LED Powell to have a hawkish tone when He was on Capitol Hill giving his Monetary policy testimony before Congress Powell had quoted the latest Economic data has come in stronger than Expected which suggests that the Ultimate level of interest rates is

Likely to be higher than previously Anticipated this year made investors Believe that the Federal Reserve would Be raising interest rates by another 25 Basis points to 50 basis points for the March fomc meeting but shortly Pal's Testimony before Congress we started Seeing major issues happening within the Banking sector as most of you guys know Unless you're living under a rock svb Alongside some of the other Banks such As First Republic Signature Bank credit Suite I mean a lot of these smaller Banks too which are under the microscope And the umbrella of what's been Happening within this industry is just Showing how much weaker and weaker they Are getting as the federal government Continue used to tighten the policy so Right now here's the debate basically if The federal government decides to Continue their super aggressive monetary Policy where they're increasing interest Rates every single month it's going up Just little by little if you guys want To put it more in layman's terms just Pretty much if you are interested in Buying a car or getting a mortgage on a Home those interest rates are going to Be like three to six percent if you're Buying a new or used car even a used car Chances are you could be seeing interest Rates up to six to even eight percent Depending on your credit score and that

Prevents people from wanting to borrow More money and to buy up these assets And the federal government is doing this Intentionally so they can slow down the Growth of the economy so that inflation Slows down so the more that we're seeing The federal government slow down the Economy the more now that we're seeing Banks actually going through a very Difficult time which may lead to an even Bigger crash than what we're trying to Prepare for which is inflation slowdown And also just a huge financial recession So the Federal Reserve approved another Quarter Point interest rate hike if you Haven't heard it's going up 0.25 basis Points but what I found most interesting About yesterday's fomc meeting is that When the investors had asked Jerome Powell whether or not he considered even Pausing all interest rate hikes it Wasn't just an absolute no of course We're not gonna do that we're gonna stay On track we're going to keep increasing Interest rates he said you know we we Actually considered it so a lot of People are going to look towards the Banks collapsing as a bad thing but if You're an investor especially a retail Investor I don't think it's necessarily Bad because right now a lot of these Banks are getting bailed out which Debatably is not really fair because the Argument is is if a regular Joe schmoe

Has a mom-and-pop business that goes out With the federal government kick in and Show them the same type of Grace that They are showing some of the biggest Banks on the other end of that if we Have some other Banks going down are They going to continue to step in and to You know turn on that infinite money Printer and say all right you know y'all Are going to be good don't even worry About it so overall the fomc meeting Wasn't terrible in my opinion but still At the same time it's not exactly what We would want to hear right right after Pal began talking we did see a smaller Drop-off happen yesterday and the main Reason for this is that people still Just aren't confident that the baking Sector is as secure as Jerome Powell and The government are making it seem to be In one essence you can argue that Powell Might be giving just a false sense of Security and confidence and he really Doesn't know what may happen next in Terms of collapses with banks next Investors have right now completely Switched their perspective and they're Even anticipating that the federal Government may need to turn that money Printer on back once again to bail out Even more future Banks who are headed Down a slippery slope slippery slippery Slope tongue twister Thursdays that's What we'll call it on top of that some

Investors believe that we could see some Additional Ray Cuts this year but Powell Put that rumor to an end by stating rate Cuts are not in our base case and that's All I have to say so it looks like right Now that interest rates will at least Remain high throughout the year and if We do begin to see any type of cuts it Would have to happen next year maybe Quarter one of 2024. the reality of the Truth is though with the entire Situation we're right now still only in The first quarter of 2023 and banks are Already failing at the interest rate of The federal fund being at 4.5 percent if We're seeing some banks collapse at 4.5 Percent the question is can we see other Major Banks survive when interest rate Is at six or seven percent right now it Looks like the state of the entire Banking sector is still very shaky and This is one of the main reasons why Bitcoin has continued a pump in the last Few days so where will things go from Here on out as Powell mentioned in his Press conference we should expect to see Credit tightening and this is pretty Much that free money era where banks are Approving anyone for loans with little To no interest the requirements right Now where Americans have to clear to get Approved for loans and credit cards will Likely rise alongside interest rates so You know we make a lot of videos on

Credit cards I'm sure if you're able to Once get approved for a credit card back You know a few months ago it's not going To be happening anytime soon banks are Going to be a lot more conservative They're going to be pulling down a lot Of those major offers so if you're Trying to get a brand new car you're not Going to be getting zero percent Interest rates on it for the foreseeable Able future unless you know it's a Particular type of car where they really Want to get you in it for the most part If they're lending you money and they're Offering you that it means they're going To be losing money on interest which Defeats the purpose of a lot of these Dealerships trying to make money now There's going to be six fomc meetings Left for this year with the next one Being in May my prediction on the Landscape of the market is the fact that I believe Bitcoin if it's able to hold This new support level if we're able to Not see it go down below twenty thousand Dollars and even hold at the level of 23 To 24 000 I do believe long term for the Future of at least this year we could See Bitcoin continuing to move up unless There's an absolute Black Swan event That none of us can predict like you Know we find out who Satoshi Nakamoto is I can't really see Bitcoin falling back Under to the price that we had before

Now just a reminder none of this is Financial advice I don't have a crystal Ball I don't know what crypto is going To do tomorrow or the day after that but What I will say is this if you're Struggling with finances in any way Shape or form or you're unsure about Your job right now or maybe you lost Your job recently the last thing you Want to do right now is to invest your Complete life savings into the market Even though we talk a lot about the Basics of investing and you know my Prediction to what's going to happen With crypto even if I had a 90 Prediction rate that Bitcoin would Triple from the month it is now towards The end of the year I still want to Recommend people who are in a risky Financial situation to put all their Eggs in one basket what I'm doing even Through this moment is to continue Dollar cost averaging and to make sure That the nest egg is filled up that you Always have backup plans and that you Still have good active streams of income Coming in and ultimately a lot of the Videos that we've been making is talking About the importance of having passive Income where in your sleep you can be Making money so whether it's affiliate Marketing or you know it's utilizing Credit cards to your advantage or even Learning the ins and outs of starting

Your own side hustle in business I Highly recommend that anyone who's Trying to make more money and to Stabilize your financial future to make Sure that you take all the precautions Ahead for that all right so ladies and Gents if you guys did enjoy today's Video be sure to drop a like subscribe And comment down below the secret phrase Words safety if you all made it till the End like always thank you all so much Again for watching follow me on Twitter And on Instagram and I'll see y'all soon

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