Bitcoin Stabilizes Above $75,000 as Fed Rate Hike Looms

The Bitcoin price has stabilized above $75,000 after the US Senate failed to advance the CLARITY Act.

This follows a sharp drop from Monday's highs of $78,250. Despite the correction, the largest cryptocurrency by market capitalization maintains a constructive near-term bias as price remains above the 50-day, 100-day and 200-day Exponential Moving Averages (EMAs) clustered between roughly $71,400 and $73,600.

The US Federal Reserve is widely expected to raise interest rates on Wednesday, which could weigh on risk assets. The FedWatch tool indicates a 92.7% probability of a rate hike to between 3.75% and 4.00%. This would increase borrowing costs for both consumers and borrowers.