Bitcoin Rally Stalls Ahead of FOMC Meeting
Bitcoin's rally stalled on Thursday, July 23, as it pulled back below $65,000, hitting three-day lows near $64,799. The move came after a 16% surge from this month's low and a run into a resistance zone where several technical and macro factors converge just days before the Federal Reserve's July 28-29 meeting.
The recovery that carried Bitcoin into the $65.5K-$66.7K supply zone was attributed to its reclaiming of a descending trendline that had capped price for weeks, as well as inflows totaling $981.2 million since July 14 into spot Bitcoin ETFs. However, this momentum reversed on Thursday due to risk assets selling off broadly following US President Donald Trump's warning about Iran-related strikes and the S&P 500 falling 1.2%.
The Fed rate-hike odds for the July meeting jumped to nearly 40% on CME's FedWatch Tool, while trading resource The Kobeissi Letter flagged 18-month highs in the 10-year Treasury yield as a sign of fresh economic strain.