Crypto Currency News

[vc_row full_width=”stretch_row” css=”.vc_custom_1531732107238{background-color: #fcc118 !important;}”][vc_column]

Trending News

[/vc_column][/vc_row][vc_row css=”.vc_custom_1531730959461{border-bottom-width: 1px !important;background-color: #f9fafb !important;border-bottom-color: #eef3f7 !important;border-bottom-style: solid !important;}”][vc_column css=”.vc_custom_1531891416301{margin-bottom: 0px !important;}”][bsfp-cryptocurrency style=”widget-6″ align=”auto” columns=”2″ scheme=”light” coins=”top-x-coins” coins-count=”8″ coins-selected=”” currency=”USD” title=”Cryptocurrencies” show_title=”0″ icon=”” heading_color=”” heading_style=”default” bs-show-desktop=”1″ bs-show-tablet=”1″ bs-show-phone=”1″ css=”.vc_custom_1531730265600{margin-bottom: 0px !important;}” custom-css-class=”” custom-id=””][/vc_column][/vc_row]

Bitcoin Price Setup – Will the Fed Push the Next Move for BTC/USD?

Bitcoin, USD Talking Points

  • Bitcoin prices are clinging to support as Fed decision drives sentiment
  • BTC/USD sell-off is losing momentum, prices temporarily stabilizing around the key psychological $36,000 level
  • U.S. dollar Safe-haven appeal weighs on risky assets

Will the FOMC pave the way for Bitcoin?

A shift in risk sentiment continues to affect Bitcoin (BTC) at this time as investors follow the much-anticipated Fed rate decision and subsequent press conference.

DailyFX economic calendar

With market participants now pricing in a March rate hike, Fed Chair Jerome Powell is expected to outline the way forward for both tapering and interest rates to combat the impact of inflation and reduce the swollen balance sheet.

Visit the DailyFX Education Center discover how monetary policy affects forex trading

Although large stimulus packages have supported the recovery throughout the coronavirus pandemic, tightening monetary policy, rising geopolitical risks (including tensions between Ukraine and Russia) and fears of inflation have pushed Bitcoin, tech stocks (Nasdaq100) and riskier assets, which currently remain under pressure.

Bitcoin (BTC/USD) technical analysis.

The recent sell-off for BTC/USD came to a temporary halt after the bears failed to break below $32,000. Despite a prominent downtrend developing since the November 2021 all-time high, the descending channel currently remains in play as the 2020-2021 50% Fibonacci retracement level provides both support and resistance for the upcoming move around 36,426 $ offers.

If risk appetite continues to wane, the bears could be presented with an opportunity to push prices back towards $32,000, which will put the spotlight on $30,000 and then $28,000.

Bitcoin daily chart

Bitcoin Price Setup – Will the Fed Push the Next Move for BTC/USD?

Source: TradingView, chart by Tammy DaCosta

On the contrary, if balance is restored and fears subside, Bitcoin could potentially revisit $38,000 with the next zone of resistance at the key psychological $40,000 level.

— Written by Tammy Da Costa, Analyst for DailyFX.com

Contact and follow Tammy on Twitter: @Tams707

element within element. This is probably not what you wanted to do! Instead, load your application’s JavaScript bundle into the element.

Comments are closed.