QCP Capital: Bitcoin shows bearish signals on the eve of the Federal Reserve meeting, suggesting investors to stay calm during pullbacks

QCP Capital's latest analysis indicates that the last Federal Reserve meeting in 2024 is about to be held, with an expected interest rate cut of 25 basis points. However, as US inflation remains above the 2% target and the job market continues to be strong, this meeting's statement and dot plot may have a hawkish tendency.

QCP Asia predicts there will be three rate cuts in 2025, but the Fed may take a cautious approach to accelerating rate cuts. In terms of markets, QCP notes that liquidity across various markets is gradually decreasing, which could trigger price gaps and large-scale liquidations. Technical analysis shows that Bitcoin's daily chart has formed an Evening Star pattern and displays bearish divergence signals.

Despite this, considering Trump might return to the White House in 2025 along with other positive factors, QCP advises investors to stay calm during market pullbacks and not exit their positions hastily.