Jerome Powell Speech Today, Bitcoin Price Drops Pointing Towards Huge Sell Off AHead
Bitcoin price loses its crucial $23K resistance ahead of Fed Chair speech
Jerome Powell is expected to continue interest rate hike to curb the inflation rate
Today the crypto market has been leaning towards bearish sentiment ahead of Jerome Powell’s speech. This bearish pull was also affected on Crypto related stocks. The world’s first cryptocurrency, Bitcoin has lost its crucial resistance of $23K and is now trading around $22.5K.
At the time of reporting, Bitcoin is selling at $22,900 with a fall of 0.21% over the last 24hrs.
Jerome Powell’s comments have always played a significant role in the financial sector, especially cryptocurrencies. However, as per the US Bureau of Labor Statistics the labor market has witnessed a huge growth where January has recorded the lowest unemployment rate.
While the retailers await Powell’s speech, the Coinbase Global ($COIN) stock has plunged by 4.50% which suggests that Crypto market will have a bearish moment ahead. Even MicroStrategy Inc ($MSTR) stock has declined 1%.
Bitcoin Floats Between Bulls And Bears
Meanwhile, when looking at Bitcoin’s technical indicators, it suggests that the flagship currency will have a decreased price action as short-term traders enjoy profits. These short-term traders are currently under profit with Spent Output Profit Ratio, hence it is expected that these traders will soon sell their holdings.
However, analysts are expecting a hawkish approach from Jerome Powell as the unemployment rate has decreased. It’s just last week that the Federal Reserve increased the interest rate by 0.25% after the FOMC’s first meeting of 2023.