Bitcoin has been trading slightly higher ahead of the US FOMC meeting on Wednesday, where the Federal Reserve is expected to raise interest rates. As inflation continues to remain high, many expect the Fed to raise interest rates above 75 basis points. Ethereum also rose after a brief drop below $1,300 on Monday.
Bitcoin (BTC) slightly higher on Tuesday, as markets begin to prepare for tomorrow’s Federal Open Market Committee (FOMC) meeting.
BTC/USD hit an intraday high of $19,639.48 earlier today, as the price recovered from losses at the start of the week.
The move came as the bulls rejected an attempt to move below yesterday’s floor of $18,645, using this as a retest point instead.
Looking at the chart, today’s gains show the 14-day relative strength index (RSI) moving away from yesterday’s low below 38.00 points. The RSI is currently tracking at 39.69.
The next step for the bulls will be to regain the $20,000 level, however the current level of market volatility will make this difficult.
As written, the token is trading at $19,117.06, as the previous gain has cooled somewhat, prior to the rate decision.
Similar to bitcoin, ethereum (ETH) also attempted a move higher on Tuesday, after moving to a two-month low in yesterday’s trading session.
ETH/USD, which bottomed at $1,287.72 at the start of the week, rallied to a high of $1,388.27 earlier in the day.
Like with BTC Prior to that, ethereum bulls entered the market after moving below a key support point, in this case the $1,315 floor.
Although the 14-day RSI is currently in bearish or oversold territory, many still believe that further declines are possible.
As of writing, the index is tracking at 36.90, however the 34.60 support could be a target for some traders.
A falling moving average is another reason some are expecting that a potential move below $1,000 could be ahead.
Sign up for your email here to receive weekly price analysis updates delivered to your inbox:
Do you believe tomorrow’s FOMC rate decision will push ethereum higher? Leave your thoughts in the comments below.
Image credits: Shutterstock, Pixabay, Wiki Commons, rafapress / Shutterstock.com
Disclaimer: This newspaper only gives true information. It is not a direct offer or solicitation to buy or sell, or a recommendation or endorsement for any product, service or company. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the Company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or materials. goods or services mentioned in this article.