Bitcoin drifts into weekly close while Fed rate hike looms as next major BTC price trigger

Bitcoin (BTC), which saw volatility rise to the weekly close March 13, as markets waited for geopolitical cues and macroeconomic cues.

BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView

This week will see long-awaited Fed action

Data from TradingView and Cointelegraph Markets Pro followed BTC/USD as the pair came within $38,000 of testing support on Sunday.

After a quiet week on Wall Street, the pair experienced a calm weekend. The status quo within and outside of crypto was unchanged.

Now, the focus was already on Sunday’s closing, and specifically the upcoming decision by the United States Federal Reserve on interest rates.

The extent of the presumed rate rise could cause temporary volatility or even a more long-lasting trend change in risk assets depending on its size.

The situation between Russia and Ukraine was also a main focus. However, there were some signs that a consensus could be reached sooner than expected by negotiators.

The Bitcoin chart, which was used to monitor resource material indicators, showed spot prices between the 50-week (WMA) and 100-week moving mean (WMA) before the Fed made its decision.

It stated that the Bitcoin price remained between 50 and 100 WMA, which it then summarized to Twitter followers.

“Assume typical volatility at the weekly close. The market is worried about Putin and the upcoming FED Funds Rate announcement. Both of these are catalysts for the outcomes that charts point to.

Crypto Ed, a popular trader and analyst, described the weekend’s action in a slow manner amid a lack of significant support or resistance tests. Matthew Hyland, meanwhile, compared Bitcoin’s behavior with “watching paint dry.”

Stocks, however, were able to take a breather after another week of heavy downturns.

Global stocks lost $2.5tn more in mkt caps this week. Investors have been focusing on developments in #Ukraine and #stagflation fear, a hawkish tilt by #ECB, as well as ahead of next week’s FOMC meeting. Global equities are now valued at $107.5tn, which is 127% of global GDP. pic.twitter.com/pFDynD1NS3
— Holger Zschaepitz (@Schuldensuehner) March 13, 2022

Russia’s stock exchange remained closed for the week, and would not see any equities trading after March 18.

Analyst says major pullbacks “cannot be ruled out.”

However, despite calls for a stronger BTC/USD retracement however, there was a possibility to “buy the dip”.

Related: Bitcoin Threatens $38K As 3-Day Chart Indicates March 2020 COVID-19 Crash Repeat

According to Decentrader, Bitcoin’s 200WMA (and logarithmic growth curve at just over $20,000 and $30,000 respectively) could be potential macro support levels in the event of an event.

The firm stated in Friday’s market update that this scenario “cannot” be ruled out.

“A crash like this could send Bitcoin towards the bottom on the logarithmic growth curve. It continues climbing and is currently above $30,000 for its first time. It also mentioned the 200WMA which is still climbing at $20,500.”

However, its market position would change to “mid-term bearish.”

https://cointelegraph.com/news/bitcoin-drifts-into-weekly-close-while-fed-rate-hike-looms-as-next-major-btc-price-trigger