{"id":125444,"date":"2025-03-20T05:19:06","date_gmt":"2025-03-20T05:19:06","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=125444"},"modified":"2025-03-20T05:19:06","modified_gmt":"2025-03-20T05:19:06","slug":"leveraged-bets-on-fomc-meeting-guaranteed-recipe-to-lose-money-trader","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=125444","title":{"rendered":"Leveraged bets on FOMC meeting \u2018guaranteed recipe to lose money\u2019 \u2014 Trader"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsA crypto trader warns that going heavy on leverage before the monthly United States interest rate decision is a surefire way to lose money in crypto trading.\u00a0<br \/>\nAfter the Federal Reserve\u2019s statement confirmed the US central bank intends to leave interest rates unchanged in its target range between 4.25% to 4.5%, Bitcoin\u2019s price barely moved, as the market had already widely expected no change in the interest rate.<br \/>\nHowever, after Fed chair Jerome Powell said the probability of a recession is \u201cnot high,\u201d despite independent economists raising the odds of one, the overall crypto market saw an upswing, leaving traders betting on the downside caught off guard.\u00a0<br \/>\n\u201cA guaranteed recipe to lose money,\u201d MN Trading Capital founder Michael van de Poppe said in a March 19 X post.\u00a0<br \/>\nCoinGlass data, which tracks a 12-hour window, shows $188.77 million was liquidated from the crypto market, with $127.80 million of that being short positions.<br \/>\nApproximately $257.03 million in short positions have been liquidated over the past 24 hours. Source: CoinGlassBitcoin (BTC) surged 3.84% in six hours after Powell\u2019s speech to hit $87,427 before pulling back to $85,760 by publication. Ether (ETH) climbed 2.27% in the same period, while XRP (XRP) gained 2.40%, adding to its 7.50% rally leading into the interest rate announcement, according to CoinMarketCap data.<br \/>\n\u201cThe initial statement isn\u2019t as important. The words from J. Powell are,\u201d van de Poppe said, adding, \u201cThat\u2019s what likely defines Bitcoin price action for the coming period.\u201d\u00a0<br \/>\nBitcoin is up 3.49% over the past 24 hours. Source: CoinMarketCapRelated: Bitcoin risks new &#8216;death cross&#8217; as BTC price tackles $84K resistance<br \/>\nCrypto analyst says the Bitcoin rally will not continue in the near term<br \/>\nCrypto trading account BitcoinHyper said, \u201cFOMC meeting made Bitcoin pump directly into the big liquidation level.\u201d<br \/>\n\u201cEven if BTC goes higher, this is not a good level to look for new long positions,\u201d the trading account said.<br \/>\nMatt Mena, crypto research strategist at 21Shares, made a similar forecast, saying that while the US Federal Reserve\u2019s \u201cdovish shift\u201d on interest rates could give Bitcoin a short-term boost, it may not be sustainable.<br \/>\n\u201cBitcoin is likely to remain in consolidation mode until a clear catalyst emerges,\u201d Mena said. \u201cLooking further ahead, the broader macro environment remains supportive of a bullish case for BTC,\u201d Mena said in a statement viewed by Cointelegraph.<br \/>\nAccording to Powell, the median forecast from FOMC members is that interest rates will be at 3.9% at the end of 2025 and 3.4% at the end of 2026.<br \/>\nMagazine: Classic Sega, Atari and Nintendo games get crypto makeovers: Web3 Gamer<br \/>\nThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.<a href=\"https:\/\/cointelegraph.com\/news\/leveraged-positions-risk-fomc-meeting-losing-crypto?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsA crypto trader warns that going heavy on leverage before the monthly United States interest rate decision is a surefire way to lose money in crypto trading.\u00a0 After&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125444"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=125444"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125444\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=125444"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=125444"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=125444"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}