Bitcoin on October 21, 2022 – Saved by the FED?
less hawk – The price of Bitcoin (BTC) is still hovering around $19,000, as the US Federal Reserve could kick-start the move higher, should this news prove true.
The price of Bitcoin (again) shaken by the FED
The price of bitcoin drops to $18,680 on Bitfinex today, October 21, 2022, but subsequently manages to win back the $19,000. Bitcoin is trading at $19,184 at the time of writing this article. Its price is currently registering a daily gain of almost 0.60%.
This succession of cuts and hikes comes at a time when some observers believe that the US Federal Reserve could indeed raise rates by 75 basis points in November, but that the next adjustments would be smaller.
The founder of the company Eight, Michaël van de Poppe, has noted that this news will have caused the dollar to fall, as Bitcoin and other currencies rebound.
While there are rumors of a 50 basis point rate hike in December, in reality there is no no certainty about the reliability of these predictions.
Statements even go against these estimates. For example, Cleveland Fed President Loretta Mester had shown support for two consecutive 75 basis point hikes.
A stop at $19,340 or an attack at $20,000?
Barring a significant move, up or down, Bitcoin could end this week with a doji, for the fourth consecutive time.
On a shorter timeframe, the 5h chart shows that the price of the cryptocurrency has returned above support at around $19,160.
Based on the most recent fluctuations, Bitcoin could go up to a resistance around $19,335who had stopped his ascent twice, on October 16 and 20.
If Bitcoin price manages to break through this resistance, however, repeating the pattern of October 13, then it could rise to around the $19,450and then continue this rise to levels near $20,000.
The bulls would be in the starting blocks and the FED could therefore give the starting signal, if it confirms an increase of less than 75 basis points for the last month of this year. News that could prove decisive for bitcoin price.