{"id":269,"date":"2023-01-31T11:03:35","date_gmt":"2023-01-31T16:03:35","guid":{"rendered":"https:\/\/embarrdowns.com\/bitcoin-breaks-out-above-cost-basis-ahead-of-fed-rate-decision\/"},"modified":"2023-01-31T11:03:36","modified_gmt":"2023-01-31T16:03:36","slug":"bitcoin-breaks-out-above-cost-basis-ahead-of-fed-rate-decision","status":"publish","type":"post","link":"https:\/\/embarrdowns.com\/bitcoin-breaks-out-above-cost-basis-ahead-of-fed-rate-decision\/","title":{"rendered":"Bitcoin Breaks Out Above Cost-Basis Ahead of Fed Rate Decision"},"content":{"rendered":"

The world\u2019s largest cryptocurrency, Bitcoin (BTC -0.26%), continues to hover around the all-time high of $23,000, having declined less than 1% over the past 24 hours to $23,250.[0]<\/a><\/sup> Last week saw a total of $117 million flow into digital-asset investment products, with nearly all of it going into funds related to Bitcoin.[1]<\/a><\/sup><\/p>\n

On Sunday evening, the value of bitcoin jumped by 3% to a peak of $23,955, before dropping back to around $23,300 on Monday.[2]<\/a><\/sup> As of press time, it is trading at $22,883 with a market cap of $441 billion, having given a breakout on all three realized prices for the first time in three years.[3]<\/a><\/sup><\/p>\n

At 2 pm Eastern Standard Time (EST) on Wednesday, February 1st, 2023, the Federal Reserve’s interest rate adjustment will be revealed, and the world will be paying close attention.[4]<\/a><\/sup> The announcement of the new rate is scheduled for 2 p.m.[5]<\/a><\/sup> Wednesday, Feb. 1 at ET.[4]<\/a><\/sup> The CME has estimated a likelihood of 99.9% that interest rates will be raised by 25 basis points, from 4.5% to 4.75%.[5]<\/a><\/sup> Interest rate futures indicate that the Federal Reserve’s current rate increase period could conclude in June.[5]<\/a><\/sup><\/p>\n

On Friday, two major upturns occurred in the Bitcoin rally that began in early 2023.[6]<\/a><\/sup> Patterns in the crypto options market suggest another jump could come, with the cryptocurrency up more than 40% in four weeks and the BTC\/USD reaching highs of $23,955 last week.[6]<\/a><\/sup><\/p>\n

The recent surge in Bitcoin price action has resulted in an initial breakout above all three cost-basis for the first time since the 2018\/19 bear market and the March 2020 Covid crisis.[3]<\/a><\/sup> If prices remain above these key psychological levels for a prolonged period of time, it would be considered a positive sign.[3]<\/a><\/sup> Additionally, Ethereum developers had on Monday deployed the shadow fork ahead of the Shanghai hard fork due in March 2023.[7]<\/a><\/sup><\/p>\n

The initial assumption is that the Federal Reserve will raise interest rates by a quarter of a percent and declare that further increases are necessary.[8]<\/a><\/sup> As a result, any increase beyond this should be beneficial for the dollar and detrimental for Bitcoin.[8]<\/a><\/sup> Should the Federal Reserve deliver as anticipated, a short-term surge powered by hype could push Bitcoin past $25.4k.[5]<\/a><\/sup><\/p>\n

0. <\/span>“Why Bitcoin, Ethereum, and Solana Are Down This Morning” The Motley Fool, 30 Jan. 2023, https:\/\/www.fool.com\/investing\/2023\/01\/30\/why-bitcoin-ethereum-and-solana-are-down-this-morn\/<\/a><\/a><\/p>\n

1. <\/span>“Crypto Markets Today: Bitcoin Dips Below $23K Ahead of Fed’s Meeting” Yahoo Finance, 30 Jan. 2023, https:\/\/finance.yahoo.com\/news\/crypto-markets-today-bitcoin-dips-222615293.html<\/a><\/a><\/p>\n

2. <\/span>“Cryptos Falter But Market Cap Holds Above $1 Trillion” RTTNews, 25 Jan. 2023, https:\/\/www.rttnews.com\/3339236\/cryptos-falter-but-market-cap-holds-above-1-trillion.aspx<\/a><\/a><\/p>\n

3. <\/span>“Bullish for Bitcoin and the whole industry: GDP rises 2.9% in fourth quarter – This is yet to come” Crypto News Flash, 27 Jan. 2023, https:\/\/www.crypto-news-flash.com\/bullish-for-bitcoin-and-the-whole-industry-gdp-rises-2-9-in-fourth-quarter-this-is-yet-to-come<\/a><\/a><\/p>\n

4. <\/span>“Bitcoin And Crypto This Week: Here’s What Will Be Important” Bitcoinist, 30 Jan. 2023, https:\/\/bitcoinist.com\/bitcoin-crypto-this-week-what-will-be-important\/<\/a><\/a><\/p>\n

5. <\/span>“FOMC: How Will Bitcoin React to a 25 BPS Hike?” Watcher Guru, 30 Jan. 2023, https:\/\/watcher.guru\/news\/fomc-how-will-bitcoin-react-to-a-25-bps-hike<\/a><\/a><\/p>\n

6. <\/span>“Bitcoin Price Holds at $23,000 as Crypto Traders Brace for Fed Decision” Barron’s, 30 Jan. 2023, https:\/\/www.barrons.com\/articles\/bitcoin-ethereum-price-crypto-markets-today-51675074760<\/a><\/a><\/p>\n

7. <\/span>“Cryptocurrencies Stay Bullish As Bitcoin Heads for $25000, Ahead of FED Meeting” FX Leaders, 30 Jan. 2023, https:\/\/www.fxleaders.com\/news\/2023\/01\/30\/cryptocurrencies-stay-bullish-as-bitcoin-heads-for-25000-ahead-of-fed-meeting\/<\/a><\/a><\/p>\n

8. <\/span>“The Federal Reserve meeting looms large as the Fed’s hawkishness may send Bitcoin lower.” CoinJournal, 30 Jan. 2023, https:\/\/coinjournal.net\/news\/4-bearish-factors-for-bitcoin-this-week\/<\/a><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The world\u2019s largest cryptocurrency, Bitcoin (BTC -0.26%), continues to hover around the all-time high of $23,000, having declined less than 1% over the past 24 hours to $23,250.[0]<\/a><\/sup> Last week saw a total of $117 million flow into digital-asset investment products, with nearly all of it going into funds related to Bitcoin.[1]<\/a><\/sup><\/p>\n

On Sunday evening, the value of bitcoin jumped by 3% to a peak of $23,955, before dropping back to around $23,300 on Monday.[2]<\/a><\/sup> As of press time, it is trading at $22,883 with a market cap of $441 billion, having given a breakout on all three realized prices for the first time in three years.[3]<\/a><\/sup><\/p>\n

At 2 pm Eastern Standard Time (EST) on Wednesday, February 1st, 2023, the Federal Reserve’s interest rate adjustment will be revealed, and the world will be paying close attention.[4]<\/a><\/sup> The announcement of the new rate is scheduled for 2 p.m.[5]<\/a><\/sup> Wednesday, Feb. 1 at ET.[4]<\/a><\/sup> The CME has estimated a likelihood of 99.9% that interest rates will be raised by 25 basis points, from 4.5% to 4.75%.[5]<\/a><\/sup> Interest rate futures indicate that the Federal Reserve’s current rate increase period could conclude in June.[5]<\/a><\/sup><\/p>\n

On Friday, two major upturns occurred in the Bitcoin rally that began in early 2023.[6]<\/a><\/sup> Patterns in the crypto options market suggest another jump could come, with the cryptocurrency up more than 40% in four weeks and the BTC\/USD reaching highs of $23,955 last week.[6]<\/a><\/sup><\/p>\n

The recent surge in Bitcoin price action has resulted in an initial breakout above all three cost-basis for the first time since the 2018\/19 bear market and the March 2020 Covid crisis.[3]<\/a><\/sup> If prices remain above these key psychological levels for a prolonged period of time, it would be considered a positive sign.[3]<\/a><\/sup> Additionally, Ethereum developers had on Monday deployed the shadow fork ahead of the Shanghai hard fork due in March 2023.[7]<\/a><\/sup><\/p>\n

The initial assumption is that the Federal Reserve will raise interest rates by a quarter of a percent and declare that further increases are necessary.[8]<\/a><\/sup> As a result, any increase beyond this should be beneficial for the dollar and detrimental for Bitcoin.[8]<\/a><\/sup> Should the Federal Reserve deliver as anticipated, a short-term surge powered by hype could push Bitcoin past $25.4k.[5]<\/a><\/sup><\/p>\n

0. <\/span>“Why Bitcoin, Ethereum, and Solana Are Down This Morning” The Motley Fool, 30 Jan. 2023, https:\/\/www.fool.com\/investing\/2023\/01\/30\/why-bitcoin-ethereum-and-solana-are-down-this-morn\/<\/a><\/a><\/p>\n

1. <\/span>“Crypto Markets Today: Bitcoin Dips Below $23K Ahead of Fed’s Meeting” Yahoo Finance, 30 Jan. 2023, https:\/\/finance.yahoo.com\/news\/crypto-markets-today-bitcoin-dips-222615293.html<\/a><\/a><\/p>\n

2. <\/span>“Cryptos Falter But Market Cap Holds Above $1 Trillion” RTTNews, 25 Jan. 2023, https:\/\/www.rttnews.com\/3339236\/cryptos-falter-but-market-cap-holds-above-1-trillion.aspx<\/a><\/a><\/p>\n

3. <\/span>“Bullish for Bitcoin and the whole industry: GDP rises 2.9% in fourth quarter – This is yet to come” Crypto News Flash, 27 Jan. 2023, https:\/\/www.crypto-news-flash.com\/bullish-for-bitcoin-and-the-whole-industry-gdp-rises-2-9-in-fourth-quarter-this-is-yet-to-come<\/a><\/a><\/p>\n

4. <\/span>“Bitcoin And Crypto This Week: Here’s What Will Be Important” Bitcoinist, 30 Jan. 2023, https:\/\/bitcoinist.com\/bitcoin-crypto-this-week-what-will-be-important\/<\/a><\/a><\/p>\n

5. <\/span>“FOMC: How Will Bitcoin React to a 25 BPS Hike?” Watcher Guru, 30 Jan. 2023, https:\/\/watcher.guru\/news\/fomc-how-will-bitcoin-react-to-a-25-bps-hike<\/a><\/a><\/p>\n

6. <\/span>“Bitcoin Price Holds at $23,000 as Crypto Traders Brace for Fed Decision” Barron’s, 30 Jan. 2023, https:\/\/www.barrons.com\/articles\/bitcoin-ethereum-price-crypto-markets-today-51675074760<\/a><\/a><\/p>\n

7. <\/span>“Cryptocurrencies Stay Bullish As Bitcoin Heads for $25000, Ahead of FED Meeting” FX Leaders, 30 Jan. 2023, https:\/\/www.fxleaders.com\/news\/2023\/01\/30\/cryptocurrencies-stay-bullish-as-bitcoin-heads-for-25000-ahead-of-fed-meeting\/<\/a><\/a><\/p>\n

8. <\/span>“The Federal Reserve meeting looms large as the Fed’s hawkishness may send Bitcoin lower.” CoinJournal, 30 Jan. 2023, https:\/\/coinjournal.net\/news\/4-bearish-factors-for-bitcoin-this-week\/<\/a><\/a><\/p>\n","protected":false},"author":3,"featured_media":268,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[47],"tags":[],"_links":{"self":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/269"}],"collection":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/comments?post=269"}],"version-history":[{"count":0,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/269\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media\/268"}],"wp:attachment":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media?parent=269"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/categories?post=269"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/tags?post=269"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}