Don’t fight the FED

Most people are at least somewhat aware of what was said at the FOMC meeting today. 75 bps raise as expected, along with some hawkish talk from Papa Powell.

Now I’ve been hearing talk on all corners of the internet, from Reddit to YouTube to Twitter this past month. Talking about this “PIVOT” that is going to happen. They think that the FED is going to decide to slow or even stop rate hikes soon.

I have no idea where they got this idea. Did anyone listen to what Powell said at the last 2 meetings? He stated as clear as day that they don’t give a damn about your stocks or crypto. They don’t care about foreign countries writing sad letters. They answer to nobody.

In today’s meeting, Powell doubled down yet again. There will be no pivot. When asked when rates would slow or be lowered, he almost laughed. He made it clear that he would rather raise too much and deal with those consequences rather than letting inflation get even worse.

The FED is going to crush the economy. Company earnings will continue to decline. Guidance will continue to be bleak. Unemployment and a full on global recession are almost guaranteed at this point.

Everyone has their own way of interpreting this information. The only advice I would give is to be cautious. Just because coins are down astronomically this year doesn’t mean they can’t continue dropping even further. We are in an unprecedented time in crypto, and anything is possible