Bitcoin traders are notably cautious as they await the Federal Reserve's decision on interest rates. Currently, Bitcoin’s price has dipped to just below $83,000, showing a 0.8% decline in the last day, alongside a significant decrease in trading volume from $49 billion to $22 billion within 24 hours. Only 1% of traders anticipate a rate cut, despite calls from former President Trump for an immediate reduction. Analysts suggest that markets might react positively if Fed Chair Jerome Powell hints at future rate cuts, potentially sparking a bullish trend. Conversely, a hawkish stance could reinforce tight financial conditions, which would not bode well for Bitcoin. Ryan Lee from Bitget Research warns that Bitcoin could drop to around $80,000 following the FOMC meeting. Meanwhile, a prominent crypto whale has placed a massive short position on Bitcoin, illustrating the heightened volatility around these market movements. Despite recent declines, Bitcoin funds face historic outflows amid ongoing macroeconomic concerns, as highlighted by CoinShares, with further price projections speculating Bitcoin trading between $80,000 and $86,000 in the near term.

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