Bitcoin's New Lows Stir Speculation, Eyes on Fed's Interest Rate Decision
Summary:
Bitcoin is experiencing new intraweek lows. Speculators are mapping out fundamental levels and anticipating a potential bounce. The decision by the United States Federal Reserve regarding interest rates on March 20th could significantly impact oversold crypto-assets. Bitcoin is now swiftly approaching a support threshold of $50,000. To provide insight into areas of support and resistance, traders are using realized price distribution (URPD) to identify where UTXOs originated. Factors like the outcomes of the FOMC meeting are closely being watched. The value of Bitcoin is currently volatile around $64,000.
Bitcoin is experiencing new lows within the week of March 19 and speculators are curious about where the digital currency's market trends could lead. Following consecutive record highs, Bitcoin tests the hardiness of newfound support levels but no firm bottom line has emerged. Market watchers are identifying potential threshold levels and anticipating a rebound.
Many believe that the March 20 decision regarding interest rates by the US Federal Reserve could be a turning point, relieving the strain on heavily discounted crypto assets. Past Federal Open Market Committee (FOMC) meetings have frequently resulted in risk-asset suppression.
As short-term predictions on Bitcoin's USD value abound, a critical support threshold nearing $50,000 is expected after the cryptocurrency's swift approach towards the $60,000 mark following its initial record high this month. This key area remains untested and forms a significant focus for stockbrokers.
Trading expert, George anticipates a sweep of last week's lows and if these don't hold, a drop below 60k again. Trading peer, Ali uses realized price distribution to identify where unspent transaction outputs, or UTXOs, originated, indicating cost basis and highlighting areas of support and resistance.
According to him, key support levels for Bitcoin reside at $61,100, $56,685, and $51,530 below $60,000, while resistance points for the cryptocurrency stand at $66,990 and $72,880.
Market analyst Mark Cullen uses Fibonacci retracement levels to denote potential support, including a "bullish order block" of bids situated at the current trading price just under $64,000. The FOMC meeting's outcome will also affect where the correction might conclude.
The FOMC remains the focal macro event this week, impacting not only Bitcoin and other cryptocurrencies but the wider risk-asset spectrum. Financial pundit Tedtalksmacro predicts Bitcoin's value will rise following Fed Chair Jerome Powell's Wednesday address. He anticipates a hawkish tone due to persistent inflation, adjusting market expectations for a rate cut.
Bitcoin's value presently experiences volatility around $64,000, according to data from Cointelegraph Markets Pro and TradingView.
This news shouldn't serve as investment advice or recommendations. Every investment and trade has inherent risks, so thorough research is advised before making decisions.
Published At
3/19/2024 10:37:08 AM
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