The tweets of Elon Musk, one of the richest people in the world, are followed with great interest in the crypto money markets. In his latest tweet, Must talked about an event that will take place next week. The famous name thinks that the development he mentioned will affect the price of Bitcoin (BTC) positively or negatively.
MUSK: ‘If Fed raises interest rates, recession will increase’
“If the Fed raises rates again next week, the recession will escalate drastically,” Elon Musk said on Twitter. On December 14, the fifth Fed meeting will take place. Economists say a new rate hike is likely. However, this time, analysts expect interest rates to be increased by 50 basis points instead of 75 as in the previous four meetings. The rate hike is expected to be smaller, judging by Fed chair Jerome Powell’s speech in November. But economists still insist that a new recession will break out in 2023.
If the Fed raises rates again next week, the recession will be greatly amplified
— Elon Musk (@elonmusk) December 9, 2022
However, this year’s rate hike by 75 basis points each time has led to decreases in Bitcoin price. Strategists see it as certain that the rate hike will be smaller this time compared to the previous ones. Therefore, unlike the previous declines, the Bitcoin price is likely to rise this time. When Jerome Powell announced in December that the Fed could begin curbing rate hikes, the leading cryptocurrency responded by pulling back $17,000 for the first time in two weeks.
Even as the recession increases, this could be positive for Bitcoin and gold
Still, even if the recession forecasts for next year come true, that could be good for Bitcoin, gold and other risk assets, according to Mike McGlone, chief commodity strategist at Bloomberg Intelligence. However, the worsening of the economy could be bad for the price of Elon Musk’s TSLA. However, Musk recently said that his companies are ready for 2023, which he expects to be a tough year for the economy.
PENSIONS next global LEHMANN. What are you going to do? Will you get richer or poorer? People who own gold, silver, Bitcoin will get richer when Fed, Treasury, Wall Street pivot & print trillions of fake dollars. Fake money savers will be biggest losers. Don’t be a loser.
— therealkiyosaki (@theRealKiyosaki) December 9, 2022
According to “Rich Dad, Poor Dad” author Robert Kiyosaki, as we reported on cryptokoin.com, as soon as the US Federal Reserve reverses its policy from falconry, there will be a huge jump in the price of assets like Bitcoin, silver and gold. According to Kiyosaki, the owners of these three things will get richer after the Fed, Treasury and Wall Street bounty.
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