‘Pick your targets’ — Bitcoin analyst believes Fed will favor bulls

“Again: volatility is inbound,” Maartunn, a factor at on-chain analytics platform CryptoQuant, emphasized on the day.”While the rate of bitcoin is going sideways, open interest has increased by 439 million dollars. Various from previous events, Funding Rates are trending down, close to neutral. Tip longs and shorts remain in (practically) in balance).”BTC/USD exchange data annotated chart. Source: Maartunn/TwitterThis post does not include financial investment advice or suggestions. Every financial investment and trading relocation includes danger, and readers need to conduct their own research when deciding.

” Markets hence put more than a 70% chance of a walking at the next FOMC conference in July, as per data from CME Groups FedWatch Tool on the day.Fed target rate likelihoods chart.” An accompanying chart revealed significant assistance zones for BTC/USD, these forming throughout the past 6 years because its prior all-time high of $20,000. BTC/USD annotated chart.”BTC/USD exchange data annotated chart.

Bitcoin (BTC) stayed listed below $25,000 on June 15 after a snap reaction to United States economic policy modifications saw three-month lows.BTC/ USD 1-hour candle light chart on Bitstamp. Source: TradingViewHawkish Powell “all bark, no bite” Data from Cointelegraph Markets Pro and TradingView tracked BTC/USD as it combined after the previous days losses totaled over 3%. The U.S. Federal Reserve had delivered an anticipated time out in rate of interest hikes– its very first given that 2021– while keeping the mood hawkish. Fed chair Jerome Powell recommended that fresh hikes might be necessary in the future to tame inflation.” As I noted earlier, nearly all committee individuals expect that it will be appropriate to raise interest rates rather further by the end of the year,” he said at an interview, referencing the views of the Federal Open Market Committee (FOMC). “But at this conference, considering how far and how quick we have moved, we evaluated it sensible to hold the target variety consistent to allow the committee to examine additional information and its ramifications for monetary policy.” Markets thus positioned more than a 70% opportunity of a hike at the next FOMC meeting in July, according to information from CME Groups FedWatch Tool on the day.Fed target rate probabilities chart. Source: CME GroupThe mixed signals included additional down pressure to currently vulnerable crypto cost performance. However, not everyone was downbeat about the outlook. Examining the Fed event, Keith Alan, a co-founder of keeping an eye on resource Material Indicators, described Powell as “all bark, no bite.”” He telegraphed extremely hawkish to tame markets, but performed a super dovish pause,” he informed Twitter fans. “Pick your targets.” An accompanying chart revealed major assistance zones for BTC/USD, these forming throughout the past 6 years given that its prior all-time high of $20,000. BTC/USD annotated chart. Source: Keith Alan/TwitterMore BTC price volatility to comeContinuing, analysis argued that the scenario for BTC price action might get more interesting still.Related: United States Bitcoin supply fell over 10% in the past year– GlassnodeSpot, trading suite Decentrader noted, was approaching an area of leveraged long liquidity. #Bitcoin is slowly getting closer the 3x Long Liquidity.Starts at $23,100. https://t.co/PWkS078rnF pic.twitter.com/b0iPBloAsB— Decentrader (@decentrader) June 15, 2023

Other Questions People Ask

What does the phrase ‘Pick your targets’ mean in the context of Bitcoin analysis?

The phrase ‘Pick your targets’ suggests that investors should identify specific price levels or market conditions to focus on when trading Bitcoin. As highlighted by analysts, understanding the current market dynamics, including the Federal Reserve's stance, can help traders set realistic targets. With the Fed's potential interest rate hikes influencing market sentiment, having clear targets can aid in making informed trading decisions.

How does the Federal Reserve's policy impact Bitcoin trading strategies related to ‘Pick your targets’?

The Federal Reserve's monetary policy plays a crucial role in shaping Bitcoin trading strategies, particularly when considering ‘Pick your targets’. As noted in the analysis, the Fed's recent pause on interest rate hikes has created a mixed market sentiment, prompting traders to reassess their targets. By monitoring Fed announcements and economic indicators, traders can adjust their strategies to align with potential price movements in Bitcoin.

Why is volatility significant when you ‘Pick your targets’ for Bitcoin investments?

Volatility is a critical factor to consider when you ‘Pick your targets’ for Bitcoin investments because it can lead to rapid price changes. As mentioned in the article, analysts expect increased volatility due to recent market developments and Fed policies. Understanding how to navigate this volatility can help traders set more effective targets and manage risk appropriately.

What should traders consider when setting their targets based on the Fed's influence on Bitcoin?

When setting targets based on the Fed's influence on Bitcoin, traders should consider the likelihood of interest rate changes and their potential impact on market sentiment. The article indicates that markets are pricing in a significant chance of future rate hikes, which could affect Bitcoin's price trajectory. Therefore, traders should analyze support zones and historical price data to establish realistic and strategic targets.

How can traders use support zones when they ‘Pick your targets’ for Bitcoin?

Traders can utilize support zones as critical reference points when they ‘Pick your targets’ for Bitcoin trading. The article highlights that significant support zones have formed over the past six years, particularly since Bitcoin's previous all-time high. By identifying these zones, traders can make more informed decisions about entry and exit points, enhancing their overall trading strategy amidst market fluctuations.