The crypto market is keenly observing Bitcoin's (BTC) movements as it tests the upper limits of its recent consolidation, currently around $97,000. This upward pressure coincides with optimism surrounding potential US-China trade talks. Adding to the bullish sentiment, New Hampshire has passed a law allowing Bitcoin investment for public funds, signaling possible wider adoption.
Simultaneously, the upcoming Federal Open Market Committee (FOMC) decision, expected around 11:30 PM PKT tonight, is a significant catalyst. While interest rates are widely anticipated to remain unchanged at 4.25%-4.50%, the focus will be on Federal Reserve Chair Jerome Powell's commentary. Any hints of future rate cuts could fuel a significant rally in BTC and the broader crypto market by increasing liquidity and risk appetite. Conversely, a more hawkish tone might exert downward pressure.
Technical analysis suggests Bitcoin is at a crucial juncture. Breaking above the May peak of $97,700 could propel it towards the $100,000 mark. However, failure to do so might lead to a pullback towards the $93,000 support level. The market anticipates increased volatility following the FOMC announcement, making tonight a potentially decisive moment for Bitcoin's short-term trajectory.
