Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Bitcoin: Fed halts BTC rebound and puts $30,000 back on target

CryptocurrencyJan 27, 2022 08:30
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

Investing.com - Bitcoin is down sharply following last night's Fed meeting, with the cryptocurrency marking an overnight low of $35,745, down from a high near $39,000 just before the Fed's announcements, a decline of around 9%.

In a few hours, the BTC/USD reversed the gains of the previous two days.

With markets falling, many expected the Fed to try to reassure, implying a dovish risk. However, this was not the case, as the FOMC confirmed the high probability of a first rate hike for March.

In addition, at the press conference following the FOMC statement, Fed President Jerome Powell warned that inflation remains above the Fed's long-term objective and that supply chain problems could be more persistent than expected.

This has led to increased risk aversion which has also impacted on equities, as seen yesterday on the US stock markets, and overnight on Asian markets.

Technical thresholds to watch for on Bitcoin

From a chart perspective, the bearish impact of the Fed meeting has realigned Bitcoin with its underlying downtrend, which can be seen on the daily chart as a descending trend line since the November high.

In the short term, the $35,500-800 area should be considered as immediate support, before Monday's low of $33,000 and the major psychological threshold of $30,000. On the upside, a return above $40,000 is the first step to start challenging the cryptocurrency's negative bias.

 

Bitcoin: Fed halts BTC rebound and puts $30,000 back on target
 

Related Articles

Crash in Stablecoins: Tether Loses $7 Billion
Crash in Stablecoins: Tether Loses $7 Billion By Investing.com - May 18, 2022

By Laura Sanchez Investing.com - Investors have withdrawn more than $7 billion from Tether since it briefly fell out of parity with the dollar, raising fresh doubts about the...

Weekly Comic: Terra Infirma and Untethered Tethers
Weekly Comic: Terra Infirma and Untethered Tethers By Investing.com - May 17, 2022

By Geoffrey Smith Investing.com -- The crypto world has survived a scary week, but the danger isn’t over. The seemingly unstoppable momentum of the last two years has gone,...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email