The hawkish stance in the FED minutes released last night deepened the decline in Bitcoin, while the US government’s subsequent court permission to sell the Bitcoins seized from Silk Road affected the price even more negatively.
The Bitcoin price fell below $93,000, creating fear among cryptocurrency investors.
Evaluating this decline, Singapore-based crypto firm QCP Capital said that there is a possibility that the Bitcoin price may drop to $90,000.
Stating that macroeconomic concerns have increased with the FED minutes last night showing an increasingly hawkish stance, QCP analysts said that this situation could continue to pull down Bitcoin and altcoin prices.
While the Fed stated that it will slow down the pace of interest rate cuts due to increasing inflation risks, analysts said that if Bitcoin falls below $92,000, it could fall to $90,000.
Analysts last noted that they expect Bitcoin to consolidate between $92,000 and $95,000 in the short term and prices to remain weak.
“Bitcoin rallied to $95,200 last night after successfully retesting the key $92,500 support.
However, there was a decline again earlier today after news broke that the US government had granted permission to sell BTC seized from Silk Road.
Bitcoin and crypto prices continue to be dragged down by adverse macroeconomic headwinds as the Federal Reserve Minutes released last night reveal an increasingly hawkish stance.
FED members stated that they will slow down the pace of interest rate cuts due to increasing inflation risks.
US markets will be closed today, so we expect prices to remain weak and move between $92,000 and $95,000 for a while.
However, if Bitcoin falls below $92,000, it could lead to the $90,000 level being seen.
*This is not investment advice.
