The cryptocurrency market gained a big rally on November 23rd. Bitcoin rose 7.69% from its low of $15.6K on 21 November and hitting a high of $16.8K, but had pulled back to $16.7K at the time of writing. The CoinDesk Market Index (CMI) has rise 6.91%. Solana, which had fallen sharply because of the collapse of FTX, also pulled up 33.85% to touch a resistance point of $14.00.
So why is the cryptocurrency market triggering a rally at this point in time?
1. Fed’s last monetary-policy meeting released
The Minutes of the Federal Open Market Committee(FOMC) of November are published on Nov 23. This will provide guidance on future interest rate movements that make the crypto market bullish.
2. U.S. Jobless Claims Increase
Although U.S. inflation is far from the Fed’s 2% target, the Fed’s hawkish advocacy of continued rate hikes has attracted criticism from all quarters and is reflected in the employment data. Major technology companies are seeing waves of layoffs one after another. The number of people claiming unemployment benefits in the US reached 240,000 last week, which increases 17,000 and reaches a three-month high, while the number of people claiming ongoing unemployment benefits reached 1.55 million, which increases 48,000.
This makes public opinion will be more dissatisfied with the Fed’s hawkish claims that the Fed may adjust the pace of interest rate hikes in response.
In summary, the cryptocurrency market rose on 22–23 November.