• Advertise
  • Submit a Press Release
  • About Us
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play GamesTry
  • Play Casino GamesTry
  • Play FinanceTry
  • Claim 7 BTCTry
No Result
View All Result
Breaking News: Bitfinex And Crypto Bank OrionX Forged Partnership To Broaden Presence In Latin America
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play GamesTry
  • Play Casino GamesTry
  • Play FinanceTry
  • Claim 7 BTCTry
No Result
View All Result
Bitcoin News
No Result
View All Result
Breaking News: Bitfinex And Crypto Bank OrionX Forged Partnership To Broaden Presence In Latin America
Bitcoin price up

Why Is The Bitcoin Price Up Today?

Jake Simmons by Jake Simmons
2 months ago
in Bitcoin

The Bitcoin price continues its upward trend, defying bad news, most notably the Commodity Futures Trading Commission (CFTC) filing a lawsuit against Binance. While BTC dropped 5% within an hour of the news, the bulls have already erased those losses.

In light of the Binance lawsuit and the hawkish stance of the US Federal Reserve (Fed) at the last FOMC meeting, the Bitcoin price is showing remarkable resilience. Despite the negative news, Bitcoin is managing to shake it off relatively quickly, indicating the relative strength of the bulls. In the medium term, this supports the case for higher BTC prices, with the $28,800 area remaining the key resistance zone.

On Friday, the release of the Personal Consumption Expenditures Price Index (PCE) in the US is likely to provide a key signal for the market. The PCE is the Fed’s favored inflation gauge and could provide major volatility once again depending on the data. The reasons for the current Bitcoin price rally are various.

Macro Outlook And A Potential Fed Pivot

During the last FOMC meeting, the US central bank published its projections for interest rate policy this year (dot plot) and predicted no rate cuts. In the past week, the Fed has repeatedly stated that it does not expect any rate cuts in 2023.

Related Reading: CFTC Vs. Binance: Cumberland Outlines 3 Scenarios For Bitcoin And Crypto

However, financial markets are calling this a bluff. As the analysts of The Kobeissi Letter note, analysts see a 50/50 chance of a 25 basis point rate hike in May. However, the futures still call for at least three rate cuts by December 2023.

Bitcoin is known to be a sponge that soaks up loose monetary policy. Accordingly, Bitcoin investors seem to be maintaining their bullish stance at the moment, despite the CFTC lawsuit against Binance.

DXY Provides Bullish Environment For Bitcoin

Probably also supporting the price at the moment is the continued weakness of the US Dollar Index (DXY). The fall of the DXY from 105.94 on March 7 to now only 102.68 is undoubtedly providing a tailwind for the Bitcoin price.

Another drop towards the yearly low under 101 will likely further fuel the Bitcoin price without a doubt. Traders should therefore keep an eye on the DXY due to the inverse correlation.

Persistent Banking Crisis Boosts BTC

Also bullish for Bitcoin is the ongoing banking crisis in the United States. As NewsBTC reported, more than $2.5 trillion in commercial real estate debt will come due over the next five years, with smaller banks holding 70% of commercial real estate loans. Elon Musk called this the “most serious looming problem” in the banking system.

Related Reading: Bitcoin Repeating This Price Pattern Of Late 2019? Watch This

Meanwhile, US President Joe Biden admitted yesterday that the US banking crisis is “not over yet.” Smaller banks in particular continue to be the focus of the crisis.

As renowned analyst Rany Woodward explained via Twitter, deposits of small banks that are not among the 25 largest banks fell by $125 billion last week, of which $65 billion was accounted for by the 25 largest banks. “NOT good for communities as small community banks will have to tighten credit availability,” Woodward wrote.

Short Liquidations Drive Bitcoin Higher

On the support side, the bulls were able to parry any sell-off attempt by the bears yesterday. Bitcoin tested and held the key support for the current momentum at $26,800 in the smaller time frames.

On a breakdown, the first bearish target would have been at around $25,300. However, the bulls have had the upper hand, leading to major short liquidations in the Bitcoin market – although thin liquidity may also have contributed to the swift move.

Thus, a classic short squeeze has propelled BTC in explosive move to a new five-day-high today. According to Coinglass data, about $60 million in shorts were liquidated today in the overall crypto market, $27.5 million in Bitcoin. However, analyst Skew is warning:

BTC Binance Spot Heatmap: Thick ask liquidity between $28K & $30K Would need some sizeable market buying to push through here.

At press time, the BTC price was at $28,515, eyeing the resistance zone at $28,800.

Bitcoin price BTC
Bitcoin price, 1-hour chart | Source: BTCUSD on TradingView.com
Featured image from iStock, chart from TradingView.com
Read bitcoin news daily on NewsBTC.com
Tags: bitcoinbtc
Tweet123Share196ShareSend
Jake Simmons

Jake Simmons

Jake Simmons has been a Bitcoin enthusiast since 2016. Ever since he heard about Bitcoin, he has been studying the topic every day and trying to share his knowledge with others. His goal is to contribute to Bitcoin's financial revolution, which will replace the fiat money system. Besides BTC and crypto, Jake studied Business Informatics at a university. After graduation in 2017, he has been working in the blockchain and crypto sector. You can follow Jake on Twitter at @realJakeSimmons.

Related Posts

Bitcoin Core

Bitcoin Core 25.0 Hits The Market: A Sneak Peek Into The Future

6 hours ago
Bitcoin (BTC)

JPMorgan Predicts Bitcoin (BTC) To Revisit $45,000, Here’s Why

3 days ago
Bitcoin

Bitcoin Exchange Inflows Mostly Coming From Loss Holders, Weak Hands Exiting?

3 days ago
Bitcoin Bear

Bitcoin Bearish Signal: NUPL Finds Rejection At Long-Term Resistance

4 days ago
Bitcoin

Bitcoin Hangs At $26,200: Why This Is A Crucial Support Level

4 days ago
Prominent Crypto Trader Peter Bradit Drops Shocking Bitcoin Price Prediction

Prominent Crypto Trader Drops Shocking Bitcoin Price Prediction

6 days ago

Premium Partners

Play Finance

Top Casinos

BitStarz

BitStarz

Review · Visit
Punt Casino

Punt Casino

Review · Visit
Trust Dice

Trust Dice

Review · Visit
mBit

mBit

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit

Press Releases

  • OpenAI crypto project Worldcoin raises $115M Tradecurve to...

    23 mins ago
  • TMS Network (TMSN) Exceeds Popular Meme Coin Rivals Shiba...

    2 hours ago
  • Traders Union published the list of Best Forex Brokers in...

    5 hours ago
  • Coinbase battles with SEC users are moving to Tradecurve

    7 hours ago
  • Cardano to hit 1$, Floki inu braces for price breakout and...

    7 hours ago

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

Company

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

© 2022 NewsBTC. All Rights Reserved.

  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
  • Claim 7 BTC

© 2022 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.