Bitcoin Declines Amid Fed’s Interest Rate Hold and Market Uncertainty
- Bitcoin (BTC) fell to an intra-day low of $74,937, slightly below its critical 20-day moving average of $75,664.
- The Federal Reserve maintained the federal funds rate at a target range of 3-½ to 3-¾ percent, citing global uncertainty.
- Hyblock CEO Shubh Varma noted that BTC quickly recovered to pre-announcement levels after the FOMC announcement.
- Glassnode reported that Bitcoin’s price is trapped below its True Market Mean at $79,000, with support between $65,000 and $70,000.
- Analysts observed rising bearish leverage among Bitcoin traders ahead of the FOMC minutes release.
The recent decline in Bitcoin prices follows the Fed’s decision to hold interest rates steady amid global uncertainties, particularly related to developments in the Middle East. The market reacted with typical volatility post-FOMC meeting as traders adjusted their positions.
With Bitcoin unable to reclaim its critical moving average and facing bearish sentiment from traders, it remains vulnerable to further downside pressure within its established support range of $65K to $70K. (Source)
