Bitcoin is constrained between $93,410 and $97,000 as traders anticipate the Fed’s FOMC meeting today. A 97.7% chance exists for the Fed to keep interest rates steady. Bitcoin is currently at $96,929, and if it holds above $95,000, it may surge towards $100k.
Bitcoin has been hovering in a tight range, locked between $93,410 and $97,000 over the last week. Traders are now glued to the upcoming Federal Open Market Committee (FOMC) meeting, set to begin at 2 p.m. ET today, which could pave the way for a shift in Bitcoin’s trajectory. Speculation is rife that after the meeting, the cryptocurrency might finally break the $100,000 mark.
Looking at Fed predictions, the CME FedWatch Tool indicates a staggering 97.7% likelihood that the Federal Reserve will opt to maintain interest rates in the range of 4.25% to 4.50%. On the other hand, inflation remains persistently high. There’s mounting pressure for rate cuts, though many expect Fed Chair Jerome Powell to uphold a cautious stance during the meeting.
At the time of this writing, Bitcoin stands at $96,929, marking a 2.44% rise over the last 24 hours. Volume is reported at a significant $38.1 billion, based on data pulled from CoinMarketCap. The recent behaviour of Bitcoin shows a price bounce off a critical support level around $93,000. Currently, it appears to be challenging a resistance zone, potentially setting up for a significant move.
The 4-hour price chart suggests that if Bitcoin maintains its strength, it could ascend by about 5%, targeting a price of around $102,250. However, should there be a downturn, a drop to approximately $88,772 isn’t out of the question.
In a recent analysis dated May 6, cryptocurrency exchange Bitfinex indicated that Bitcoin could reach a new all-time high, provided it remains above the pivotal support level of $95,000. The exchange elaborated, remarking that the $95,000 threshold is a “critical pivot point,” essential for maintaining a three-month price range. Thus, sustaining prices above this figure is crucial for achieving new heights, while slipping below it could lead to a swift downward trajectory.
