Bitcoin Price Forecast Post FOMC Meeting – Which Way Is It Headed?

The bitcoin price went on a whipsaw rollercoaster immediately after the latest increase in the Fed Fund rate, ranging from a high of $20,721 to a low of $20,106.

The volatility in the bitcoin price was a result of market participants trying to weigh up the change in wording in the FOMC’s statement, accompanying the o.75% rise in the interest rate and the comments in the press conference that always follows the announcement.

The wording in the FOMC statement suggested that the FOMC was mindful of the lag in policy impact and the later comments by Fed chair Jerome Powell that indicated continued hawkishness, in which he said that the terminal rate at which the Fed stops hiking rates could be higher than the market previously anticipated.

While a hike in interest rates will help curb US inflation by preventing people from acquiring additional debt, it will also force many Americans, who are already having a hard time keeping up with the growing cost of living, to pay more each month just to keep up with their debt payments. 

US interest rates are now at 4%.

No Signs of a Reduction in Inflation – Hikes to Continue 

In order to combat inflation, Fed Chair Jerome Powell said it was too soon to talk about putting a temporary stop to the hikes, and the market responded badly.

Although it has decreased from its 9.1% high in June to 8.2% low in September, the Consumer Price Index shows that year-over-year inflation has stayed stubbornly high. The Federal Reserve’s target rate for CPI inflation is 2% a year.

In his comments Powell said it was “still possible” for the economy to achieve a soft landing but that the chances of such an outcome has “narrowed”. In other words interest rates were going to have to go higher and that meant a hard landing  – in other words a recession – was much more likely.

Powell put it like this: “We’ve always said it was going to be difficult, but to the extent rates have to go higher and stay higher for longer it becomes harder to see the path. It’s narrowed. I would say the path has narrowed over the course of the last year.”

The Road Ahead for the Bitcoin Price – Bullish Reversal Ahead?

At the time of writing bitcoin is priced at $20,302, on a volume of $43 billion. The leading crypto’s market cap is $389 billion according to Coinmarketcap data, and is down from $392 billion from the day before.

Trading in BTC/USD has taken on a bearish bias after the price fell below the crucial support level at around $20,330.

If the bitcoin price closes below this level at the end of the US session, it might signal a major selling trend.

Price drops for bitcoin could continue until resistance at $19,984. As the MACD and RSI have moved into the selling zone, traders should now seek for opportunities to sell over $20,330. 

However, if the BTC price were to break out over $20,330, it might reach $20,800 or $21,270 in a bullish reversal. Bitcoin’s price may break beyond the $21,000 mark if demand increases and it breaks through the $20,800 level of resistance. If Bitcoin can break out decisively over the $21,000 level, it may hit $21,450.

Accumulate Bitcoin But Balance it With a Sustainable Crypto like IMPT

Bitcoin is probably a good choice for a diversified crypto portfolio but you might want to consider balancing its lack of environmental, social and governance rating with a crypto that does tick all those boxes – IMPT.

IMPT is a new green crypto that focuses on helping consumers and businesses to offset their carbon footprint with its revolutionary carbon credit trading platform.

This coin could very easily deliver 10x returns. IMPT is on presale now and has already raised more than $12 million in record time, so investors need to move fast to catch the lowest prices, as the presale is divided into price ladder stages.

Not only does the blockchain eliminate fraud in carbon trading, with IMPT affiliate shopping program it means it is easy to get involved in carbon offsetting.

Whenever you shop at one of the thousands of stores and retail platforms that have signed up with IMPT.io – such as Amazon, River Island, Bloomingdales and Samsung, to name a few – a portion of the purchase amount is passed on to ESG projects.

Also, the carbon credits to offset your footprint can be ‘retired’ or traded by connecting to the IMPT,io marketplace.

You will need ETH or USDT to invest in the presale tokens.

And Here’s Two More 10x Returns Presale Opportunities

And here’s another two coins that might add some alpha spice to your portfolio.

The first is Dash 2 Trade, a crypto analytics and signals platform for traders built by traders. It has a state-of-the-art dashboard and unique presale rating system as well as AI and signals to make a success of trading for retail investors. This is a pro platform for the masses.

The other coin also currently in presale is Calvaria, a play-to-earn epic fantasy battle card game that threatens to blow the likes of Splinterland and Gods Unchained out of the water, so don’t miss out.

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