Bitcoin Holds Ground as Fed Decision Looms and Interest Rates Rise
The cryptocurrency market is experiencing a downturn, with Bitcoin (BTC) struggling to regain momentum after a sharp drop from $78,250. Despite this, BTC has maintained its support above $75,000 and remains above the 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs). The Crypto King's recent break and sustained trade above the prior downward resistance trendline have reinforced a medium-term supportive structure.
The Federal Open Market Committee (FOMC) is widely expected to raise interest rates later on Wednesday, which could weigh on risk assets. Markets are pricing in 92.7% odds that the Fed will hike interest rates to between 3.75% and 4.00%. The West Texas Intermediate (WTI) crude oil price has been elevated due to geopolitical tensions in the Middle East.
Gold (XAU/USD) remains stable, ticking up above $4,300. However, momentum appears to be lagging ahead of the US Federal Reserve's monetary policy decision. Gold is gaining ground above $4,300, but remains capped by a nearby cluster of shorter EMAs. The 50-day EMA at $4,346 and the 100-day EMA at $4,364 sit overhead as immediate resistance.