Bitcoin fell 5.6% to $64,356 in Tuesday’s trading session amid profit booking and ahead of the Federal Reserve policy decision and commentary on Wednesday. Meanwhile, Ethereum, the second largest crypto token, also plunged over 7% to $3,350.

The global cryptocurrency market cap declined 5.35% to around $2.45 trillion in the last 24 hours.

“Bitcoin experienced a decline to the $65,000 mark amid surging profit booking and liquidations. Market participants should closely monitor the $64,700 level as a critical threshold. A breach below this point could potentially propel Bitcoin towards the $62,000 to $64,000 range,” said Edul Patel, CEO of Mudrex.

Crypto Tracker

Meanwhile, Vikram Subburaj, CEO of Giottus, said, “If Bitcoin loses $65,000, it may revisit $61,000 in the coming days.”Also Read: Slerf? Snap? Memecoin mania drives Solana toward record high
The Fed is widely expected to hold rates steady on Wednesday, with the market’s attention on policymakers’ updated economic, comments from Chair Jerome Powell and interest rate projections.

Last week’s stronger-than-expected inflation reports led traders to reduce their bets of rate cuts this year, with markets pricing in 71 basis points of easing this year. At the start of the year, traders were pricing in 150 bps of cuts.

Traders are pricing in a 54.7% chance of the Fed starting its easing cycle in June, the CME FedWatch tool showed, sharply lower from earlier expectations.

Shivam Thakral, CEO of BuyUcoin, said, “The FOMC meeting is expected to see no change in rate hikes. But the volatility is still expected from Jerome Powell’s press conference.”

Meanwhile, other popular crypto tokens such as BNB (-7%), Solana (-7.6%), Cardano (-7.2%), Avalanche (-4.6%), Dogecoin (-12%), Shiba Inu (-11.6%), and Polygon (9.5%) declined. XRP, Polkadot, Tron, Toncoin, and NEW Protocol also fell.

In the last 24 hours, the market cap of Bitcoin, the world’s largest cryptocurrency, fell to $1.276 trillion. Bitcoin’s dominance is currently 52.44%, according to CoinMarketCap. BTC volume in the last 24 hours surged 24.2% to $55.36 billion.

Tech view by Rajagopal Menon, Vice President, WazirX

BTC’s Exponential Moving Average for a 10-day EMA indicates ‘Sell’ at 67825, and a 200-day EMA indicates ‘Buy’ at 44388. The Simple Moving Average for a 10-day SMA indicates ‘Sell’ at 69357, and a 200-day SMA indicates ‘Buy’ at 40814.

The Relative Strength Index (14) sits at 54, indicating ‘Neutral’. The Stochastic %K (14, 3, 3) at 49 indicates ‘Neutral’ and the Average Directional Index (14) at 45 indicates a ‘Neutral’ outlook.

The MACD Level (12, 26), at 3373, indicates ‘Sell’. The Stochastic RSI Fast (3, 3, 14, 14) at 11 indicates ‘Neutral’ and the Williams Percentage at -73 indicates ‘Neutral’.

(With inputs from agencies)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)


Source link