JasmyCoin (JASMY) has experienced a decline in price momentum recently, with attention shifting to the upcoming Federal Reserve interest rate decision. The token’s value dropped to $0.039 on Monday, down from its peak of $0.045 earlier this month. Despite this, it has seen significant growth, with an increase of over 720% from its lowest point in January.
The strong rally of Jasmy came to a halt after the US reported robust job numbers on Friday. The Bureau of Labor Statistics (BLS) revealed that the economy added more than 272k jobs in May, surpassing the consensus estimate of 183k. Although the unemployment rate rose to 4.0%, the wage growth in the country increased by 4%. These figures were released two weeks after the US announced strong consumer confidence numbers. Additionally, they coincide with the upcoming June interest rate decision by the Federal Reserve, with most analysts predicting that interest rates will remain unchanged between 5.25% and 5.50%. The dot plot is also expected to indicate a potential rate cut later in the year.
Jasmy and other cryptocurrencies are known to be highly reactive to changes in interest rates. Typically, digital currencies perform well when the Fed is either cutting rates or hinting at potential future rate cuts.
Following the strong resistance faced by Bitcoin, the price of Jasmy token also stalled. Bitcoin struggled to attract buyers above $72,000, despite continued ETF inflows and declining exchange balances. However, there is optimism that Bitcoin will make a strong recovery after forming an inverse head and shoulders pattern, which could lead to a rebound in other popular altcoins like Jasmy.
Investors have begun to book profits, which is expected after a significant rally in an asset. Looking at the daily chart, it is evident that the price of the JASMY token has rebounded in recent months. It surpassed the crucial resistance level at $0.02756, which was its highest swing on March 4th, and has consistently remained above the 50-day and 25-day moving averages. Additionally, the Awesome Oscillator has remained above the neutral point, and the Relative Strength Index (RSI) has remained above the ascending trendline, indicating a bullish flag pattern.
Considering these factors, the outlook for the token is bullish ahead of the Federal Reserve decision. If the token surpasses the year-to-date high of $0.045, it could potentially reach the next psychological point at $0.050.