Tuesday, February 27, 2024

Bitcoin price clings to $30K as Fed’s Powell stresses more rate hikes


Bitcoin (BTC) staged one other retest of $30,000 assist on June 28 as the US Federal Reserve stayed hawkish on inflation.

BTC/USD 1-hour chart. Supply: TradingView

Powell on price hikes: “Extra restriction coming”

Knowledge from Cointelegraph Markets Pro and TradingView confirmed BTC worth motion sticking to a slim vary on the Wall Road open.

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This accompanied recent feedback on financial coverage from Fed Chair Jerome Powell.

Talking throughout a two-day dialogue with different central financial institution heads on the European Central Bank Forum on Central Banking 2023 in Sintra, Portugal, Powell reiterated Fed consensus for additional rate of interest hikes this yr.

Having paused the hiking cycle, which started in late 2021, this month, Powell nonetheless careworn that there was nonetheless room for additional coverage tightening.

“Actually, coverage hasn’t been restricted for very lengthy,” he stated.

“We began at destructive actual rates of interest; we’ve since moved as much as the place we are literally in restrictive territory, however we haven’t been there very lengthy, so we consider there’s extra restriction coming.”

Powell stated that there was majority assist for no less than two additional price hikes going ahead.

Bitcoin appeared hesitant because of this, retracing the prior day’s positive factors to draw back from a renewed assault on yearly highs at $31,000.

Reacting, market members nonetheless selected to attend and see.

“Value bullishly explodes from the lows, takes a pause on the vary excessive, after which continues to new yearly highs,” common dealer CryptoCon wrote in a part of a tweet.

An accompanying chart demonstrated that BTC’s worth was in acquainted territory on its approach up.

BTC/USD annotated chart. Supply: CryptoCon/Twitter

MicroStrategy Bitcoin dip-buying returns

Information that MicroStrategy had bought greater than 12,000 BTC for its company treasury, in the meantime, didn’t have a tangible impression.

Associated: BTC price metric warns that Bitcoin speculators may sell past $33K

Confirmed by CEO Michael Saylor, the corporate introduced that it had added 12,333 BTC — value on the time $347 million — to its reserves, bringing its combination price foundation to $29,668 per BTC.

In response to monitoring useful resource Bitcoin Treasuries, MicroStrategy now owns nearly 0.7% of your entire potential BTC provide.

It additionally owns 10 instances greater than the second-largest treasury, belonging to Voyager Digital, which owns 12,260 BTC.

Public corporations’ BTC holdings (screenshot). Supply: Bitcoin Treasuries

Journal: How smart people invest in dumb memecoins: 3-point plan for success

This text doesn’t comprise funding recommendation or suggestions. Each funding and buying and selling transfer entails danger, and readers ought to conduct their very own analysis when making a choice.