U.Today – The cryptocurrency market is currently facing selling pressure, with liquidations of almost $170 million reported.
According to CoinGlass data, $160.67 million were cryptocurrency liquidations, with the bulk of that, $136 million, being bullish bets.
Investors were long on the weekend, reaching nearly $70,000 in Monday’s trading session, a trend that is now “flashing” amid recent concerns about the U.S. government sell-off and the Federal Reserve’s meeting results.
Bitcoin and the broader cryptocurrency market fell as investors picked up on signs that the U.S. government could sell some of its sizable cryptocurrency holdings. A wallet linked to the U.S. government transferred $2 billion in bitcoin to a fresh address on Monday, according to blockchain research firm Arkham Intelligence.
Bitcoin fell to a low of $65,875 on Tuesday before rising slightly to trade around $66,330 at press time. On Monday, the world’s largest cryptocurrency approached $70,000 for the first time since mid-June.
Most cryptocurrencies were also reporting losses at the time of going to press.
Federal Reserve decision coming up
Investors are closely monitoring the results of the latest Federal Reserve meeting, which should provide vital information on the future direction of interest rates and monetary policy.
The Federal Reserve’s July meeting will begin on Tuesday and end on Wednesday with a monetary policy decision and a news conference by Federal Reserve Chairman Jerome Powell.
Markets are broadly expecting the central bank to leave interest rates unchanged this week, but many investors are hoping policymakers will provide fresh signals on the outlook for interest rates.
Key economic data is expected to be released this Tuesday. Later this week, ADP’s private payrolls report is expected, as well as the July employment report, which includes nonfarm payrolls and unemployment statistics.
