Crypto Market News Today, January 28: USD Index Dropping as We Wait For FOMC Results, Bitcoin to Follow Gold?

Market Overview - Crypto markets are experiencing a pause amid negative news, with Bitcoin's price stabilizing and gold prices rising significantly [1] - The USD index has decreased by almost 3% this week and over 10% in the last year, impacting risk assets [3] Government and Regulatory Environment - There is a 76% probability of a US government shutdown by January 31, which is causing caution among institutions [2] - Legislative progress on the US Crypto Clarity Act has slowed, contributing to market uncertainty [2] FOMC Impact - The Federal Open Market Committee (FOMC) meeting maintained interest rates at 3.50%–3.75%, with no early cuts expected [2] - The FOMC news is influencing capital flows, with gold outperforming equities and becoming a safe-haven asset [4] Gold and Bitcoin Comparison - Gold has reached an all-time high of $5,280 per ounce, outperforming the S&P 500 by over 100% [4] - Bitcoin is trading around $89,000, showing a slight increase of 1.2% on the day, but remains in a medium-term downtrend [6][8] - Tether holds over 140 tons of gold, valued at approximately $24 billion, highlighting gold's significance in the current market [5] Market Dynamics - Bitcoin's market cap is significantly smaller than gold's $36 trillion, suggesting potential for growth if liquidity conditions improve [6] - The current market conditions are reminiscent of historical currency weakening prior to coordinated interventions [3]