Bitcoin Defies Fed Rate Hike with Resilient Price Action
The Federal Reserve's decision to raise interest rates by 25 basis points on Wednesday was expected to send shockwaves through the markets, but Bitcoin proved resilient, holding above $75K.
Meanwhile, the S&P 500 index broke out of a bull flag formation, which could be a bearish sign. However, bulls were able to cling on, and the chart is starting to turn more positive.
The daily time frame shows that the bull flag pattern at the top of Bitcoin's huge rally remains intact, with Wednesday's bounce from the bottom trendline being very bullish.
An additional bullish factor is the recent golden cross in the 50-day SMA over the 200-day SMA. This occurs when the shorter-term average crosses above the longer-term average and often happens at or near bear market bottoms.