Navigating the FOMC Meeting: Bitcoin Bulls Race the Bears, Aim the $30K Levels

The FOMC meeting brings a wave of uncertainty and the recent decision by the Federal Reserve (Fed) to raise the Federal Funds Rate (FFR) by 25 basis points, bringing it to 5.50%, marks the highest level since February 2021. Surprisingly, this move had minimal impact on the cryptocurrency market, including the leading digital asset, Bitcoin (BTC).

Despite the anticipation of increased volatility due to the FFR hike, the cryptocurrency market remained relatively unaffected. Bitcoin, being one of the most closely watched assets during economic events, showed resilience and maintained its stability during and after the rate increase announcement.

Bitcoin’s price showed signs of a short-term recovery by surpassing the $29,000 resistance zone. The cryptocurrency managed to climb above the $29,200 resistance as well. The cryptocurrency managed to climb above the $29,200 resistance as well. However, the bears became active near the $29,600 resistance zone, preventing further upward movement. 

Analyzing Bitcoin’s Bollinger Bands on the weekly chart, we observe a contraction, indicating a potential major price move in the coming days or weeks. This low volatility period may precede a trending move once the price chooses its direction.

Based on Material Indicators Firechart, Bitcoin has successfully surpassed a crucial level, indicating a potential breakthrough into higher price zones. This suggests a positive trend for cryptocurrency. However, in the short term, there could be a challenge as Bitcoin’s 50-day Moving Average (MA) currently stands above its current price.

As altcoin enthusiasts eagerly await an alt season, we see that the total cryptocurrency market is consolidating. The accumulation pattern suggests that a potential rally in altcoins may occur in the near future, but patience is essential to avoid front-running. At the time of writing, Bitcoin is trading at the $29,445 level.