Bitcoin price feels FOMC crunch as traders eyes move towards mid-$50k.
Bitcoin (BTC) headed toward $60,000 at the March 19 Wall Street open as BTC price weakness showed no sign of abating.
The tail wind is integrated to maintain the pressure
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD is set to test $62,000 at the time of writing in volatile conditions.
The largest cryptocurrency immediately experienced hot selling pressure after the daily close, dropping almost 8% on the day.
The trend comes as risky assets prepare to brace for an interest rate decision from the US Federal Reserve on March 20.
The U.S. dollar gained broadly, with the U.S. dollar index (DXY) rising above 104 before consolidating.
In the eyes of market observers, the fed event created just one of several headwinds for Bitcoin.
Other news including the Bank of Japan's first rate hike since 2007 and an exit from Grayscale Bitcoin Trust (GBTC) saw the daily total hit $642 million on March 18.
MNTrading founder and CEO Michael van de Pop recently commented on X (ex-Twitter) that “we are close to the bottom process and the correction is shallow, altcoins are bleeding -> I think we have good opportunities. .
The accompanying chart raises the prospect of a bearish divergence in BTC/USD, with Van de Pop joining what they see as an inflection point at $60,000.
BRAND: February BTC price trend line allows $55,000 dip
Older hands, meanwhile, remain positive on Bitcoin's overall strength.
Related: Bitcoin Levels to Watch Next as BTC Price May Retest Below $60k
For veteran trader Peter Brandt, who has successfully called various BTC price levels in recent years, the current correction was less of a concern.
“This correction is healthy. BTC is in a major bull trend,” he summed up in part of the X chat.
Brandt suggested a head and shoulders pattern that can be played on daily time frames. He warned that a deep drop to $55,000 could still result, but even this is in line with the broader upward trend of BTC/USD.
As Cointelegraph reports, confidence in the bull market has not waned despite repeated failures to move past the old high of $69,000 to firm support starting in 2021.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
