Bitcoin Stalls at $76K, Traders Eye $75K Liquidity Sweep
Bitcoin's recent price action has been characterized by weakness, with the cryptocurrency struggling to hold onto its gains. Traders are now watching whether Bitcoin will drop below $76,000 before making another push toward $80,000 and eventually $90,000.
At the time of writing, Bitcoin was trading around $76,990, down 1.28% over the past 24 hours. The broader crypto market was also falling ahead of two major U.S. events: the Senate's vote on the CLARITY Act and the Federal Reserve's interest-rate decision.
Bitcoin has a liquidity zone between $75,000 and $76,400, which could trigger stop-losses from traders holding long positions and force some leveraged traders out of the market. A break below $76,000 puts $75,000 in focus, while a break below $75,000 opens the way toward $73,000 if selling pressure accelerates.
The Federal Reserve's decision on Wednesday is a major risk for Bitcoin, with markets largely expecting a 0.25% rate hike. A hawkish Fed strengthens the dollar and puts pressure on risky assets such as Bitcoin, increasing selling pressure and putting $75,000 in play.