- Bitcoin price action mixed off initial Federal Reserve interest rate decision, with selling pressure hammering BTC south before rallying near the end of the regular trading day.
- Traders and investors across all risk-on and risk-off asset classes assumed a 25 to 50 basis point increase was priced in.
- Bulls and bears await the initial surge of indecision to settle before deciding on a direction.
Bitcoin price action has thrown bulls and bears into a tailspin ever since the Fed announced its recent interest rate increase. However, at the time of publication, bulls are in control and look to initiate an extremely bullish entry signal that could set BTC on the path to new all-time highs.
Bitcoin price positioned for an expansive move if it can close at $41,250
Bitcoin price is attempting to pull off a daily close that could trigger a new bullish expansion phase. A close at or above $41 250 would confirm an Ideal Bullish Ichimoku Breakout on the daily chart - the first occurrence of that entry since July 30, 2021. Additionally, at $41,250, Bitcoin would close above the crucial 38.2% Fibonacci retracement.
While confirmation of a bullish close on the daily chart remains a few hours away, if Bitcoin price does trigger an Ideal Bullish Ichimoku Breakout, then the next resistance zone that BTC will likely tackle is the $47,000 value area where the 61.8% Fibonacci retracement and the 78.6% Fibonacci expansion levels exist.
Buyers should have an easier time pushing Bitcoin higher due to the extremely thin Ichimoku Cloud. Thin Ichimoku Clouds represent weakness and ease of movement.
BTC/USD Daily Ichimoku Kinko Hyo Chart
Downside risks for Bitcoin price, however, remain. As a result, bulls should be wary of any weakness that would push BTC down to $37,750. If that occurs, then a bearish continuation move would likely begin with a return to the June 2021 and July 2021 lows near the $30,000 value area.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.