Key points:
Bitcoin reaches $116,000 again as volatility ramps up into the US trading session.
Traders diverge on short-term BTC price action, with targets including $117,000 before Wednesday’s Federal Reserve interest-rate decision.
The latest CME futures gap gains popularity as a downside target.
Bitcoin (BTC) passed $116,000 after Tuesday’s Wall Street open as crypto refused to halt its Uptober comeback.
BTC/USD one-hour chart. Source: Cointelegraph/TradingView
FOMC meeting injects BTC price volatility
Data from Cointelegraph Markets Pro and TradingView tracked a 1.6% daily BTC price upside, taking BTC/USD to $116,077 on Bitstamp.
In a move that traders found increasingly surprising, Bitcoin even bucked the trend of dropping prior to major US inflation events — in this case, the Federal Reserve interest-rate decision.
The Federal Open Market Committee (FOMC) was widely expected to cut rates by 0.25% Wednesday, with markets also watching Fed Chair Jerome Powell’s language for hints over future policy trajectory during the subsequent press conference.
“So far, so good on Bitcoin. It’s nicely holding up here and doing a slight retest after this crypto trader, analyst and entrepreneur Michaël van de Poppe reacted on X.
“I would assume that we’re bottoming here today and that we start the uptrend in the remainder of the week.”BTC/USDT two-hour chart with RSI data. Source: Michaël van de Poppe/X
In a separate post, Van de Poppe argued that an inverse correlation between Bitcoin and gold was helping fuel the uptick. The former dropped to $3,886 per ounce on the day, its lowest since Oct. 6.
“Gold coming down and consolidating is heavily bullish for risk-on assets, including Altcoins,” he wrote.
XAU/USD one-day chart. Source: Cointelegraph/TradingView
Trader Killa, meanwhile, had $117,000 in mind as part of a pre-FOMC local top before price returned lower to fill the latest weekend gap in CME Group’s Bitcoin futures market near $111,000.
$BTC
Your welcome. My LTF plan playing out perfectly. Bullish narrative into FOMC. https://t.co/BIGR5q8kR9 pic.twitter.com/U2nsYJUrtv
— Killa (@KillaXBT) October 28,…..
