- Bitcoin traders watch out for the Fed’s interest rate decision this week.
- BTC could surge to $126,000 based on historical behavior.
- Dropping to $70,000 will trigger a FUD for Bitcoin.
Most Bitcoin traders are reportedly holding off on their next moves, waiting to see what the US Federal Reserve decides on interest rates this week.
Analysts believe that the Fed Chair’s statement later this week will give Bitcoin traders a clue about where the cryptocurrency might be headed next.
Bitcoin Price Level Traders Should Watch
Data from TradingView showed Bitcoin trading at $83,680. However, analysts see the area between $85,000 and $87,000 as a key liquidity zone. Because of this, how Bitcoin acts around this price could really impact market feelings and decide what many traders and investors do.
Right now, many crypto users think Bitcoin is in a buying opportunity phase, especially those who have held it for three to six months. Looking at how Bitcoin has acted in the past, analysts are predicting that the main cryptocurrency could jump to $126,000 by June.
Related: Bitcoin Price Dip Analysis: 30% Drop But CryptoQuant CEO Says It’s “Common” in Bull Cycles
But, if it drops further toward $70,000, that could be a critical point, as it would likely cause a lot of fear, uncertainty, and doubt (FUD) in the Bitcoin market. On the flip side, if it climbs above $100,000, that could trigger a fear of missing out (FOMO) among investors.
What Happened to Bitcoin Last Week?
Bitcoin fell below the important $80,000 support level last week, dropping to $76,600, its lowest point since November 2024. Even though Bitcoin’s price has since bounced back and is above $80,000 again, selling pressure is still there as buyers are having trouble getting the cryptocurrency’s price moving upward again.
At the time of writing, Bitcoin bulls’ initial target is to overcome the 0.236 daily Fibonacci resistance at $84,396. If they can do that, it would set Bitcoin up to break above the daily downward trendline and could lead to bigger price increases.
Related: Bitcoin Price Prediction: $90K Break – Dip or Rebound Next?
Higher Fibonacci resistance levels are making it hard for Bitcoin to recover. However, if it can get past these levels, that would create the needed buying momentum to reclaim the $100,000 level before potentially moving even higher.
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