The Bitcoin price is undergoing a pretty rigid phase as it is failing to inculcate the required momentum to hit $30,000. The bears are successfully restricting the price at the interim threshold as the bulls continue to remain resilient. While the volume has soared to some extent, the price is believed to remain volatile as the FOMC meeting on the fresh interest rate is underway.
Although the price faced a fine rejection, it continues to remain within a profitable region but is believed to drop down towards the lower band soon. In the meantime, the star crypto shows some positive signs, which were attributed to two important support levels. Presently, the price is approaching a minor resistance in the 28,900 to $29,000 range.
In the short term, the local solid supports are at the Fibonacci level of $27,666 and the lower Bollinger band of $27,637. Besides, minor resistance can be seen at the 0.5 Fibonacci level of $28,817 and the upper Bollinger band of $29,603. In between these levels, the middle, or average, levels of the bands are around $28,620.
In the case of a bullish breakout through the minor resistance at the 0.5 Fibonacci level of $28,817 and the upper Bollinger band of $29,603, it indicates a potential upward trend. Further, if RSI crosses above 50 levels, the MACD starts to rise and the volume oscillator turns positive. If all these indicators align, a steady rise in the Bitcoin price may be expected, testing the Fibonacci level of $29,969.
Also Read: FOMC News: Here’s What Bitcoin (BTC) Traders Can Expect With FED Increasing Interest Rates
Conversely, in a bearish scenario, if the BTC price fails to break through the minor resistance and instead breaks below the local solid supports at the Fibonacci level of $27,666 and the lower Bollinger Band of $27,637, it could indicate a potential downtrend. However, if the RSI crosses below 50, the MACD may continue to decline while the volume oscillator remains negative. This may cause the Bitcoin price to face rejection and test the 24-hour low at around $27,910.
Currently, the fresh interest rates could be announced any time from now and hence the BTC price seems to be volatile and uncertain. Although the price may tend to flash bullish signals, one needs to be pretty cautious and keep a close watch on the bullish and bearish scenarios.
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