TechFlow news, December 19 — 10x Research released a market update stating that not every dip is a buying opportunity.
The report noted that while Fed Chair Powell's tone was expected to be slightly hawkish, the median projection in the updated Federal Reserve interest rate forecasts shocked markets by indicating rate hikes not only in 2025 but also in 2026 and 2027. Powell stated it might take one to two years to return to the 2% inflation target, further reinforcing hawkish sentiment. Projections for subsequent years were surprising, suggesting interest rates could remain elevated over an extended period.
Equities dropped 3%, and Bitcoin fell 4%. Retail trading activity remained subdued, leading to even greater pressure on altcoins, with many plunging 10% or more. While the impact of Trump's policies remains speculative, weak demand from European economies and China may dampen global growth (and inflation). Meanwhile, a stronger dollar could weigh on U.S. corporate earnings.
