Crypto Assets Outperform US Stocks Amid Fed Rate Decision Uncertainty

Crypto assets performed better than US stocks in July, according to QCP Capital. Despite macroeconomic pressures, Bitcoin (BTC) and Ethereum (ETH) saw significant gains, rising approximately 11.6% and 24.6%, respectively. The market is focused on the Federal Reserve's interest rate decision, which will be announced this Wednesday.

The US-listed spot BTC and ETH ETFs recorded a combined net outflow of around $311 million on July 24. Investors are also paying attention to the proposed CLARITY Act, as they seek downside protection against short-term macro uncertainty.

The Federal Reserve's interest rate decision is seen as a key indicator of monetary policy, directly affecting global liquidity tightening or easing. The market's sensitivity to this policy statement reflects the current risk aversion sentiment towards a high-interest-rate environment.