Bitcoin (btc) surpassed $29,500 on October 20 after a choppy 24 hours that boosted BTC's price trajectory, while XRP the price jumped above $0.50 in response to Ripple's big legal victory.
Fed's Powell fails to make a dent in BTC price
Data of Markets Cointelegraph Pro and TradingView followed BTC/USD as it approached two-month highs since the start of the week.
The largest cryptocurrency appeared to feed off the events surrounding a speech from Jerome Powell, Chairman of the United States Federal Reserve, the day before.
In the midst of a decline in US bonds, Powell was under pressure to give appropriate wording, and The analysis even predicted a โvery moderateโ tone would dominate. At the event, the speech, which was briefly interrupted by protesters, saw Powell taking a very conservative perspective.
"The policy stance is restrictive, meaning that tight policy is putting downward pressure on economic activity and inflation," he said of the interest rate increases.
"Given the rapid pace of tightening, there may still be significant tightening in progress."
Powell said the Federal Reserve recognized the potential problems of raising rates too much.
โDoing too little could allow above-target inflation to take hold and ultimately require monetary policy to remove more persistent inflation from the economy at a high cost to employment. Doing too much could also cause unnecessary harm to the economy,โ he continued.
"Given the uncertainties and risks, and how far we have come, the Committee is proceeding cautiously."
Data from CME Group's FedWatch tool showed changes in market expectations regarding future rate decisions.
At its next meeting on November 1, the Federal Open Market Committee (FOMC) is now unanimously believed to keep rates at their current levels, according to data from the CME Group. FedWatch Tool. Before Powell, the odds were 88%.
After the speech, news emerged that US regulators had dropped criminal charges against executives of the Blockchain firm Ripple.
XRP price responded immediately, rising over 6% in 24 hours at the time of writing.
Trader Suggests Bitcoin 'Momentum' Is Here
Amidst a backdrop of growing anticipation Following the approval of a US Bitcoin spot price exchange-traded fund (ETF), Bitcoin gained momentum overnight.
Related: Bitcoin Metrics 'Improve Bullish Odds' as BTC Price Holds 200-Week Trendline
At the time of writing, the day's highs stood at $29,689, just $200 off the high of a sharp volatility wick seen on October 17.
$BTC He has launched.
Keeping it as simple as possible:
In the same way that 26.8k was the origin of our last impulse, 28.6k is now the origin of the current one. Above that, we go MUCH higher, FAST.
Fall below 28.6k and the local uptrend will be violated and we may get a bit... https://t.co/odakQpZbTL pic.twitter.com/CbhLBo133G
โ CrediBULL Crypto (@CredibleCrypto) October 20, 2023
โBitcoin fills the fuse, slowly but surely. Let's go get that $30,000 faucet,โ popular trader Jelle. wrote in part of X's analysis of the day, having previously argued that Bitcoin seemed "eager to fill" the October 17 wick.
"Today is a very interesting day for trading... They reached exactly $29,400, where there were many liquidations," said operator CrypNuevo. continued.
In several X posts, CrytpNuevo uploaded liquidation data from the last few days, warning that long positions outnumbered short ones four to one. Bitcoin, he suggested, could pull back during the US trading session.
Settlement levels and settlement heat maps.
Quick thoughts:
- All of our upward settlement levels since yesterday have been affected.
- Delta long liquidations for $15 billion (medium-high amount and enough to consider a decline soon).
- Current open long-short positionsโฆ pic.twitter.com/dAqbRbaimcโ CrypNuevo (@CrypNuevo) October 20, 2023
This article does not contain investment advice or recommendations. Every investment and trading move involves risks, and readers should conduct their own research when making a decision.
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