$BTC Federal Reserve "crash" the market, does the bullish sentiment for Bitcoin need to cool down? Beware of liquidity shortages amplifying market volatility! Is this round of plummeting a "reverse pickup"?
The Federal Reserve has just concluded its last policy decision for 2024, and market optimism is lacking. Officials predict that there will only be two rate cuts in 2025, each by 25 basis points, leading market participants to expect the Fed's rate cuts over the next 12 months to be lower than any other major central bank.
Although this is not entirely unexpected, especially after Trump's overwhelming victory in the U.S. presidential election, the Fed's hawkish stance still caught the crypto market off guard.
Returning to the structure, in the Bitcoin weekly K-level, the pen rack's upward pressure has shown clear signs of a reversal after a large bearish pullback. On the daily level, the coin price has plummeted sharply, dropping to around the 92270 area, and the weak sentiment is evident. Although there has been a rebound during this period, the price is still halted below the mid-line of the hundred thousand mark. With the MACD indicator's bearish volume increasing and oscillating downward, considering all these factors, the subsequent trading strategy for Bitcoin should rely on the mid-line area of the daily chart for a medium to long-term layout.
Next week's medium to long-term trading suggestion:
BTC: Layout short positions at 98000-99500, targeting a drop to 94000-90000!
