Bitcoin has experienced a rebound from Tuesday’s losses with all eyes in the market now focused on the United States Federal Reserve rate decision. It is widely expected that the Fed will hike rates by 25 basis points in May’s meeting. Ethereum also moved higher, nearing $1,900 in the process.
Following a low of $27,935.73 on Tuesday, BTC/USD surged to an intraday high of $28,881.30 earlier in the day. This came after bitcoin rejected a breakout below its long-term floor at $27,600 to start the week. Overall, momentum has shifted marginally higher, as the 10-day (red) moving average approached its 25-day (blue) counterpart. Should this upwards crossover occur, this could be a signal that bulls need to intensify pressure, potentially taking BTC back above $30,000.
Of course, there’s skepticism surrounding the possible continuation of this upward trend. In order for this to occur, the relative strength index (RSI) will first need to surge past a ceiling at the 52.00 mark.
In addition to BTC, Ethereum also bounced back as bulls began to reenter the market. ETH/USD rose to a peak of 1,879.76 on Wednesday, after almost falling below $1,800 the day prior. The move saw Ethereum bulls briefly push the price above a ceiling at $1,875, before retreating as the session matured. Earlier gains eased as price strength was unable to rally past a key point of resistance at 48.00, with the index now tracking at 46.99.
Despite some skepticism, there is still optimism that Ethereum could move beyond $1,900 later today once the rate decision is made. At the time of writing, ETH is trading at $1,859.53.
As the world watches the Federal Reserve rate decision, there is uncertainty about how it will impact markets. Bulls are hoping for an upward trend, while skeptics remain unsure if the crypto market can sustain such a trajectory. With a mix of optimism and skepticism, the crypto community will be eagerly awaiting the outcome of the rate decision and its potential impact on Bitcoin and Ethereum prices.
Source: news.bitcoin.com
