{"id":2351,"date":"2023-11-02T05:06:43","date_gmt":"2023-11-02T05:06:43","guid":{"rendered":"https:\/\/prendergast.net\/?p=2351"},"modified":"2023-11-02T05:06:43","modified_gmt":"2023-11-02T05:06:43","slug":"bitcoin-price-whipsaws-on-fed-rate-decision-reclaims-support-above-34600","status":"publish","type":"post","link":"https:\/\/prendergast.net\/?p=2351","title":{"rendered":"Bitcoin price whipsaws on Fed rate decision reclaims support above 34600"},"content":{"rendered":"
<\/div>\n

Bitcoin price whipsaws on Fed rate decision, reclaims support above $34,600<\/strong><\/span><\/h1>\n

The broader crypto market experienced a slight uptrend in trading on Wednesday after the Federal Reserve announced that it would be holding interest rates steady in a range of 5.25%-5.5%, the highest level in 22 years.<\/p>\n

While rates remain unchanged for the time being, the central bank left the door open for future increases as they work to bring inflation back to their 2% target. Fed Chair Jerome Powell said the committee “is proceeding carefully” and will continue to make decisions “meeting by meeting.”<\/p>\n

Stocks climbed higher following the announcement as traders saw the pause as evidence that the risk-on environment has returned. At the close of markets, the S&P, Dow, and Nasdaq finished in the green, up 1.05%, 0.65%, and 1.43%, respectively. Treasury yields sank lower, with the 10-year yield trading around 4.755%<\/p>\n

Data provided by TradingView shows that Bitcoin’s (BTC) price whipsawed near midday, spiking to a high of $35,200 before dipping to $34,080. The top crypto has since climbed back above support at $34,600.<\/p>\n

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BTC\/USD Chart by TradingView<\/p>\n

Senior Kitco technical analyst Jim Wyckoff noted that “November Bitcoin futures prices [were] a bit weaker in early U.S. trading Wednesday,” and said, “Recent price action has formed a bullish pennant pattern on the daily bar chart.”<\/p>\n

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Bitcoin futures 1-day chart. Source: Kitco<\/p>\n

“However, prices need to see a bullish upside breakout this week, or the bullish pennant will be negated,” Wyckoff warned. “The BTC bulls still have the solid near-term technical advantage as a price uptrend is in place on the daily bar chart.”<\/p>\n

MN Trading analyst Gunter Lackmann said the daily chart for Bitcoin shows its price is “in a bullish consolidation resembling an ascending triangle chart pattern as the 8EMA, a reliable source to look for relative strength, is catching up with price.”<\/p>\n

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BTC\/USD 1-day chart. Source: MN Trading<\/p>\n

“Currently, the most obvious invalidation of this pattern would be daily candle closes under $34k, but we should also be ready for an intraday retest of the 8EMA, which last got tagged on October 23,” he said. “Upside resistance is at around $34.8k.”<\/p>\n

Zooming in on the 1-hour chart, Lackmann said there is a “clear consolidation pattern, especially focused between $34,240 – 34,760.”<\/p>\n

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BTC\/USD 1-hour chart. Source: MN Trading<\/p>\n

He said the “most preferable entry into long exposure here probably would be a raid of the range low ($32.2k) followed by a reclaim of the range.”<\/p>\n

“Most conservative traders wait until after the move to the upside (often divided into two – three legs up) completes” to reenter the market, he said. “My targets for those potential legs up from here are the areas of $36 – 38k and $40 – 42k. From there, it will become more likely that we get a retest of the previous HTF range high of around $31.5k, just when the market gets excited for more upside.”<\/p>\n

For traders waiting for a significant pullback before opening a position in Bitcoin, market analyst Rekt Captial warned that there are only 100 days left when such an opportunity could present itself.<\/p>\n

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Altcoins in an uptrend<\/p>\n

A majority of tokens in the top 200 recorded gains on Wednesday, while only nine coins saw losses greater than 3%.<\/p>\n

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Daily cryptocurrency market performance. Source: Coin360<\/p>\n

SushiSwap (SUSHI) was the top performer, with an increase of 46.4%, followed by a gain of 26.8% for Just (JUST), and 16.3% for Uniswap (UNI). Polymesh (POLYX) led the losers with a decline of 11.64%, while MobileCoin (MOB) lost 10.5%, and Centrifuge (CFG) fell by 9%.<\/p>\n

The overall cryptocurrency market cap now stands at $1.29 trillion, and Bitcoin’s dominance rate is 52.4%.<\/p>\n

By<\/p>\n

Jordan Finneseth<\/p>\n

For Kitco News<\/p>\n

Time to Buy Gold and Silver<\/a><\/u><\/span><\/span><\/span><\/p>\n

<\/p>\n

Tim Moseley<\/p>\n","protected":false},"excerpt":{"rendered":"

Bitcoin price whipsaws on Fed rate decision, reclaims support above $34,600 The broader crypto market experienced a slight uptrend in trading on Wednesday after the Federal Reserve announced that it would be holding interest rates steady in a range of 5.25%-5.5%, the highest level in 22 years. While rates remain unchanged for the time being, … Continue reading Bitcoin price whipsaws on Fed rate decision reclaims support above 34600<\/span> →<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[290,291],"_links":{"self":[{"href":"https:\/\/prendergast.net\/index.php?rest_route=\/wp\/v2\/posts\/2351"}],"collection":[{"href":"https:\/\/prendergast.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prendergast.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prendergast.net\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prendergast.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2351"}],"version-history":[{"count":0,"href":"https:\/\/prendergast.net\/index.php?rest_route=\/wp\/v2\/posts\/2351\/revisions"}],"wp:attachment":[{"href":"https:\/\/prendergast.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2351"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prendergast.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2351"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prendergast.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2351"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}