This Could Be Bitcoin (BTC) New Support Price If Fed Hikes Rate By 50 BPS

New Bitcoin (BTC) Price: In view of the last Federal Open Market Committee (FOMC) meeting on the rate hike, Bitcoin (BTC) price is one of the most anticipated metrics currently. For the first time in several months, there are high chances of the Fed announcing a rate hike in line with the market expectation of 0.50%. The anticipation comes at the back of Fed chair Jerome Powell‘s recent remarks on slowing down rate hikes. After the November FOMC meeting, Powell hinted at the possibility of lesser rate hike in the December meet.

Also Read: Bitcoin, Ethereum Price Gains In Anticipation Of 50 Bps Rate Hike By US Fed

Following fall of U.S. Consumer Price Index (CPI) in November to 7.1%, the Bitcoin (BTC) and Ethereum (ETH) prices rose significantly. As of writing, BTC price stands at $18,004, up 0.80% in the last 24 hours, according to price tracking platform CoinMarketCap. The current price range is the highest so far in over a month since the FTX liquidity crisis led to a crypto crash around mid-November.

BTC To Recover More If Fed Rate Hike At 50 BPS?

During his recent speech at the Brookings Institute, Powell reiterated his statement that smaller interest rate hikes could start in December 2022. Stating that the inflation still remained high, he said moderating hike pace might come as soon as December. Meanwhile, crypto analysts are predicting a jump to the $18,400 level if Fed hikes interest rate by 0.50%. Captain Faibik, who does technical analysis, said BTC will break that price level if the news comes out to be positive.

“$BTC Falling Wedge Formation in 1 day technical chart. If the FED raise interest Rates 50 bps, then Bitcoin will Break the 18.4k crucial resistance.”

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Following the reveal of interest rate decision, Powell speech could spill beans on the country’s economic outlook, inflation, and the labor market.