Bitcoin price rises to $ 20.7K as Fed Powell says more rate hikes are “appropriate”
Bitcoin (BTC) checked losses while US stocks fell on June 22 as the Federal Reserve kept quiet on monetary policy.
Powell keeps quiet on Fed movements
Data from Cointelegraph Markets Pro and TradingView showed that BTC / USD hovered near $ 20,500 at the opening on Wall Street on June 22.
The pair had fallen below the $ 20,000 limit overnight before recovering, still down from the previous day’s $ 21,700 highs.
The markets were preparing for last-minute surprises from testimony to Congress by Fed Chairman Jerome Powell on the day, this ultimately provides no new insight into the central bank’s approach to curbing violent inflation.
“We expect ongoing interest rate hikes to be appropriate; the pace of these changes will continue to depend on incoming data and the evolving outlook for the economy,” said a copy of Powell’s testimony released before his appearance.
“We will make our decisions face to face, and we will continue to communicate our thinking as clearly as possible.”
Both the S&P 500 and the Nasdaq Composite Index opened slightly down after rapid gains the day before, providing similar non-volatile conditions for the crypto markets.
As the Cointelegraph reported, consensus among analysts continues to point to further testing at lower levels, with $ 16,000 particularly popular with Bitcoin.
“Declining volume with a complete impulse wave. Looking for an ABC withdrawal too long. I had posted a long one but closed due to the structural completion here,” the popular Twitter account Crypto Tony explained about the layout of the accommodation market.
His concerns about the low volume of an upward impulse were shared by other trader and analyst Rekt Capital, who urged Twitter followers not to rely too much on the strength of the rally.
“The volume of this latest BTC rebound is very low and seller dominated,” he said wrote.
“This is not the kind of volume $ BTC is experiencing on Bear Market bottoms.”
Report finds silver edges in cryptosky
Looking at the bright side, the trading company QCP Capital meanwhile revealed that it saw bearish conditions that ebbed after Bitcoin’s repayment of $ 20,000 over the weekend.
Related: Bitcoin miners sold their entire May-fall: Report
“On Saturday, support levels broke with the collapse of BTC to 17,567 and ETH to 879. For BTC, this is a decline of 75% from all-time highs (82% for ETH). The cryptocurrency crisis is in full swing,” it wrote in the latest market circular issued. to Telegram channel subscribers.
“However, we were pleasantly surprised by the strong downturn from the lows on Sunday and into this week, taking BTC back over 20,000 and ETH over 1,100.”
It further explained that financing rates in the derivatives markets were now more stable and that pressure from the sales side to the weekend’s lowest level was that “more miners reduced inventories.”
In terms of macro, QCP highlighted falling oil prices as a positive move against inflationary pressures.
“With that said, we remain vigilant. Redemptions of funds at the end of the quarter will probably put some pressure on prices along with the possibility of more crypto insolvencies being discovered,” it added.
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