Bitcoin Price Retraces From $25000 Ahead Of US FOMC Minutes Release

Bitcoin price rises above $25,000 again today, continuously trying to reclaim the psychological level many times in the last few days. BTC price hit a high of $25,126, before starting a retracement to low levels.

Traders are keeping a close eye on whether the Bitcoin price can hold above the crucial level to confirm a further upside. Some believe the recent rally is a “bull trap.”

Bitcoin price upside momentum will depend on two key factors. First, whether it can hold above $25,100 — 200-Weekly Moving Average (WMA). The 200-WMA is one of the most effective indicators that a trader uses to help identify long-term changes in direction of Bitcoin.

Last week, Bitcoin price witnessed a reversal right from the 200-WMA, a strong resistance. If BTC price closes this week above the 200WMA, a massive bullish rally could start. Interestingly, the same level will fully eliminate bears and bulls will take over the trend.

Another factor to consider is the U.S. Federal Reserve‘s FOMC Minutes Release on February 22. The Bitcoin price will remain volatile ahead of this key event. Fed Chair Jerome Powell previously reiterated that a deflationary process has begun, hinting at disinflation to put higher rate hikes off the table.

However, hawkish rhetoric by some Fed officials for a possible 50 bps rate hike in the FOMC meeting in March continues to put pressure on the Bitcoin price. Thus, the FOMC Minutes release a key event that will drive the market in the next few weeks.

On the other hand, several on-chain metric confirms that Bitcoin price is in the early bull market cycle.

Bitcoin Price To Hit $30,000

With market sentiment highly bullish and China reportedly backing Hong Kong to become a crypto hub and several crypto exchanges planning to expand to Hong Kong, BTC prices can likely rally higher.

BTC price currently trades in the $24.7K-$25K range. The 24-hour low and high are $24,428 and $25,126, respectively.

Also Read: Grayscale Strongly Claims Win Against US SEC, Is A Spot Bitcoin ETF Finally Coming?

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.