Amid growing December 'rate-hold' outlook…"Bitcoin to $60,000" warning

JOON HYOUNG LEE

Summary

It reported that if the U.S. Fed decides to hold rates in December, Bitcoin could fall to the $60,000 range.
XWIN Research Japan said that Bitcoin's upside would be limited until policy uncertainty is resolved.
It said that in a tightening policy phase investors reduce leverage, and Bitcoin's volatility could increase.

There are views that if the U.S. Federal Reserve (Fed) holds interest rates next month, the price of Bitcoin (BTC) could fall to the $60,000 range.

A CryptoQuant contributor from XWIN Research Japan told CryptoQuant on the 20th (local time), "If the Fed does not cut rates in December, Bitcoin is likely to trade in the $60,000–$80,000 range by the end of this year." XWIN Japan said, "The lower bound reflects a weakening preference for risk assets and tightened liquidity," and "the upper bound will be limited until (monetary) policy uncertainty is resolved."

XWIN Research referred to early this month when expectations of a rate cut had diminished. XWIN Research said, "When rate-cut expectations fell earlier this month, risk assets were collectively adjusted and Bitcoin plunged," and "If the Fed maintains a cautious stance in December, similar downward pressure will persist." It added, "In a tightening policy phase, investors reduce leverage," and "Bitcoin may react more sensitively to negative flows and become more volatile."

BTC