After a period of pretty high volatility on a downtrend, the crypto markets calmed down and a mini-uptrend was formed, on a lower volatility and leading to the Fed decision tomorrow on the interest rate, which is, like always, included in the price already, if it's a 25bps cut, as most people expect.
However, bitcoin was unable to break the 92k resistance and the pretty strong downtrend line we see depicted in the chart below.
On the downside, we see price found support on the blue ascending line in the last couple days. The downtrend line and the small uptrend line intersect tomorrow, right in time for the Fed decision...
The breakout of such a formation can be pretty volatile, in either directions, especially if it happens on high volume. Unless the MO changes compared to the past, the Fed interest rate and policy announcement usually comes with dumps on the market in the short term (i.e. sell the news), unless there are any major positive surprises.
So... we might see bitcoin (and as a consequence, alts) lower in the short term.
On the weekly chart, bitcoin has been supported by the 100-day moving average, as you can see below.
If that continues, BTC would drop to around 84k. If this support is breached, it's difficult to say where it will stop. There are, of course, other supports, but if we get there we will see which of them will hold and which will be breached without issues.
This is one possibility. It is still possible BTC will break through the resistance after the Fed announcement, but... it would have to be a pretty epic announcement.
Going back to the 100-day moving average doesn't exclude BTC having a good 2026. Quite the opposite, I'd say.
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This makes the fed announcement more thrilling
As much as something that everyone knows can be, I guess.
Crypto is always full of surprises. Let’s see if Bitcoin can break that resistance or if it’ll dip first.
Yep, tomorrow we'll find out.
It's hard to predict the markets. Let's see where things go, but I wouldn't want to rely on the Fed.
You can rely on it for short term volatility. It already started yesterday. I think we will have it today too. Maybe tomorrow as well.
Too much bullcrap going around Ukraine, nato talking about preventive strikes...
Really? Are those guys crazy or what? I see Trump more and more signalling the withdrawal from conventional nato ops and leaving it to the Europeans and their war. That means us. Idiots!
https://www.kyivpost.com/post/65293
European leaders are stupid, they want a war until the last ukraine man is dead and keep instigating zelensky to continue the war
I agree, they are stupid. They think they can restart the European economy by focusing on war and keep "extremists" (some may be real extremists, others are only labeled this way) under control this way too.
I think it is important to be more cautious and prepared with this volatility in the market
!BBH
Yep. Looks like it's trying to push through the resistance once again before the Fed announcement tomorrow. Could be short lived... something like at the beginning of December, or could be the real deal. We'll see tomorrow after the announcement.
#hive #posh