Bitcoin (BTC)tested traders once again on March 16, the day the Fed rate decision was announced, as a new surge above $40,000 ended within minutes.
According to data from Cointelegraph Markets Pro and TradingView, BTC/USD momentarily spiked as high as $41,700 on Bitstamp and then momentarily declined again.
The two-hour candle was enough for the entire market to surge $2,000, break key resistance levels, and move down again. While the move has been quite common lately, such spikes are causing some traders to take huge losses, as evidenced by the liquidations in the exchanges.
Bitcoin hosted $98 million in reliefs within 24 hours of writing, according to data from on-chain data tracker Coinglass. Total crypto liquidation for the period stands at just over $200 million.
BTC/USDWhile still in the middle of the established trading range, the pair gained resistance at both $40,000 and $41,000 before regaining strength after losing strength.
As of Wednesday, $41,000 remained sell-side pressure, but a significant seller’s backlog had yet to resurface at $40,000, according to data from the order book compiled by Binance’s Materials Indicators tracking resource.
Orders Can Wait Until Fed Announces Rate Decision!
It will be announced at 21:00 Turkish time. Fed rate decisionAs many analysts expect, it will be a decision that has the potential to directly affect global markets.
For popular trader and analyst Crypto Ed, it looks like there’s nothing to see until news comes in.
Meanwhile, Twitter user PlanC argued that the market has already announced an expected 0.25% rate increase, but argued that this will not help macro inflationary forces, which may be advertising BTC as a store of value.
“FED will raise already priced rates by 25 basis points and do nothing to stop inflation,” the account said.
BTC/USD was trading around $40,200 at the time of writing.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.