Bitcoin Price Compression Signals Potential Movement Ahead of FOMC
- Bitcoin (BTC) is trading in a range between $117,000 and $120,000, with a potential daily close below $118,000.
- Analysts predict BTC may retest support levels at $114,000 to $110,000 due to current market conditions.
- Aggregate open interest in Bitcoin futures has decreased from $50.58 billion to $49.58 billion.
- Long liquidations in the futures market reached $173.8 million over the past twelve hours.
- The CME Group’s FedWatch metric indicates a 98% chance that the Federal Reserve will maintain interest rates between the range of 4.25% to 4.5%.
The upcoming FOMC meeting and a White House report on US crypto policy are expected to influence Bitcoin’s price movement significantly. Traders are particularly keen on the details regarding the US government’s Bitcoin holdings and any strategic reserve plans announced by President Trump.
With Bitcoin experiencing a near-45% reduction in intraday volatility recently, any favorable news from the FOMC or White House could potentially trigger a breakout from its current price compression.(Source)
