Bitcoin, the world’s largest cryptocurrency, failed to sustain its upward momentum and fell below $24,000 in the past 24-hours, falling from its peak of $25,100 due to a significant reversal in the cryptocurrency market. Following bitcoin’s lead, Ethereum A gradual decline has been observed in the last 24 hours as well.
As the cryptocurrency market continues to experience volatility, all eyes are on the minutes of the Federal Open Market Committee (FOMC) meeting due to be released today. The outcome of this event is expected to have a significant impact on the market, especially on the prices of Bitcoin and Ethereum.
Cryptocurrency Market Analysis: A Fundamental Outlook
The bearish trend in the cryptocurrency market can be mainly attributed to the upcoming release of preliminary GDP data and PCE statistics from the United States, which are expected to increase volatility in the market.
Furthermore, the upcoming release of the minutes of the Federal Reserve’s February meeting is seen as another factor making investors hesitant and contributing to bitcoin’s losses. The central bank is expected to give an accommodative stance in the Fed minutes, which is keeping cryptocurrency gains in check.
Furthermore, the higher than expected US PMI released earlier has given the Fed additional economic headroom to hike interest rates, adding to the cautious sentiment in the crypto market.
Risk-Off Wave In Crypto Market: Eyes On Key US Data
The global cryptocurrency market has failed to sustain its uptrend and turned negative for the day, despite several positives emerging for the cryptocurrency market. This is likely due to cautious investor sentiment ahead of the Federal Reserve’s February meeting minutes, as investors await more clarity on US interest rates and the path of monetary policy.
Besides this, the upcoming release of Personal Consumption Expenditure Index is also expected to add to the volatility in the market.
It’s worth noting that the minutes of the Federal Reserve’s February meeting, set to be released later today, are widely expected to echo the central bank’s hawkish tone.
This means that rising interest rates will limit liquidity, which is not good for cryptocurrencies. Higher yields usually prompt investors to move their money away from riskier investments.
This week all eyes will also be on Thursday’s report of the Personal Consumption Expenditure Price Index, which is expected to show that inflation remained firm in January. This could provide further justification for the Fed to continue raising interest rates.
New economic data released on Tuesday showed that the US PMI for February was better than expected, providing more economic headroom for the Federal Reserve to raise interest rates, as it has indicated it may do so soon. wants to
New York State Department of Financial Services Increases Ability to Monitor Virtual Currencies
New York State Department of Financial Services (NYDFS) has announced that it has enhanced its ability to detect illegal activity related to virtual currency within regulated entities. The agency said these upgrades are a part of its ongoing efforts to remain competitive in the industry and proactive in resolving issues related to virtual currencies.
Recent reforms by the New York State Department of Financial Services (NYDFS) to address illegal activity involving virtual currency among organizations are seen as a positive development for the cryptocurrency market. .
NYDFS is actively taking steps to stay competitive and keep pace with the evolving virtual currencies landscape. The department recently announced additional capabilities to detect potential insider trading, market manipulation, and front-running activity associated with department-regulated entities and the exposure of applicants or listed virtual currency wallet addresses.
The move is expected to help in the expansion of the cryptocurrency. NYDFS announced on February 21 but gave no details about a “new insider trading and market manipulation risk monitoring tool”.
Let us examine the technical aspect of the market.
bitcoin price
looking at technical analysis of BTC/USD, the pair broke an important support at $24,500 and started a decline towards $23,900. However, the double bottom pattern has turned this level into an important support level for bitcoin.
On the 2-hour time frame, there is an ascending triangle pattern forming with an upside trendline providing support near $24,000. If bitcoin breaks below this level, the next level of support will be around $23,400. The RSI and MACD indicators are in the sell zone, which is increasing the selling pressure on bitcoin.
Bitcoin’s immediate resistance lies at $24,500, and an increase in buying pressure could lead to a breakout above this level, taking BTC to the next resistance at $25,200.
Investors are closely watching the minutes of the FOMC meeting, which will be released today at 7:00 PM (GMT). This event is expected to impact future trends in the financial markets, making it important to stay focused.
ethereum price
ETH/USD The pair broke below its choppy range of $1,675 to $1,725 and it is currently showing a declining trend. The next support for Ethereum is expected near the 38.2% Fibonacci retracement level of $1,630.
If the downside momentum continues and there is a bearish breakout below the 38.2% Fibonacci retracement level, the downtrend could extend towards the $1,600 or $1,565 levels.
If the ETH/USD pair can sustain above the $1,630 level, this could lead to a possible price rally towards the $1,675 or $1,740 levels.
bitcoin and ethereum options
Apart from Bitcoin (BTC) and Ethereum (ETH), there are many other altcoins in the cryptocurrency market that are worth watching. To help investors stay up to date, the Cryptonews Industry Talk team has done an analysis and compiled a list of the top 15 cryptocurrencies to keep an eye on in 2023.
This list is updated regularly with new altcoins and ICO projects, so checking back often for the latest additions is recommended.
Disclaimer: The Industry Talks section features insights by crypto industry players and is not part of the editorial content of 0x0news.com.
Find the best price to buy/sell cryptocurrency
Bitcoin Crypto Related Post