Bitcoin Selloff Continues Amid Fed Interest Rate Expectations
The cryptocurrency market is under pressure due to uncertainty surrounding the Federal Reserve's decision on interest rates. This has led to a decline in Bitcoin prices, with a loss of over 3% in the last three trading days. The potential for higher interest rates could reduce the appeal of risk-oriented investments like BTC.
Investors are expecting a rate increase from 3.75% to 4%, which is currently priced at over 90%. This has led to a strong U.S. dollar, making it more attractive than speculative assets. As a result, demand for Bitcoin may be slowing down, with open interest climbing to approximately $25.5 billion but also indicating growing bearish positioning.
The technical forecast suggests that the current trendline is at risk of being broken, and the MACD histogram remains below the 0 neutral line, favoring a bearish dynamic. Key levels to watch include major resistance at 81,600, near-term barrier at 73,600, and critical support at 70,000.