Bitcoin Price and Ethereum Prediction – Big Day, Eyes on the US FOMC & Fed Rate Decision
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We believe in full transparency with our readers. Some of our content includes affiliate links, and we may earn a commission through these partnerships.On November 02, the Bitcoin price is choppy, maintaining a narrow trading range of $20,300 to $20,800 ahead of the US FOMC and Fed Rate decision. Similarly, Ethereum has increased by less than 0.50% to $1,590, indicating investor indecision ahead of major news.
The worldwide crypto market cap gained over 0.88% to $1.01 trillion the previous day, putting major cryptocurrencies in the green today. Over the last 24 hours, overall crypto market volume climbed over 22% to $87 billion.
The overall volume in DeFi was $4.01 billion, accounting for 4.57% of the total 24-hour volume in the crypto market. Overall, the market is risk-off ahead of the United States Federal Reserve’s monetary policy and rate decision later today during the New York session.
Top Altcoin Gainers and Losers
Toncoin (TON), Chiliz (CHZ), and Theta Network (THETA) were the top performers in the last 24 hours. TON price has increased by more than 9% to $1.65, while CHZ price is up by nearly 5% to $0.22. At the same time, SHIB has gained more than 4% to trade at $1.23.
Terra Classic (LUNC) has dropped more than 4% to $0.00023 in the last 24 hours. Casper (CSPR) is down over 4% to around $0.039, and ApeCoin (APE) is down about 4% to $4.50.
Big Day, Eyes on the US FOMC & Fed Rate Decision
Today’s market focus is on the FOMC and Fed interest rate decision, which will be released during the US session. The market expects the Federal Reserve to raise interest rates by 75 basis points (bp). It would be significant if the hawks’ focus on core inflation momentum implies a fifth 75bp hike in December.
- FOMC Statement – 18:00 GMT
- Federal Funds Rate – 18:00 GMT
- FOMC Press Conference – 18:30 GMT
The Federal Open Market Committee (FOMC) is expected to adopt a fourth consecutive 75bp rate hike despite two consecutive quarters of declining GDP, the economy has returned to growth, and job creation is accelerating, with job vacancies currently outnumbering unemployed Americans by a ratio of four.
US #fed decision about 75bps rate hike will be announced on the 2 Nov . The next step is to identify whether #US CPI number of existing 8.2% could be significantly lower to be announced 10 Nov ?? If not, shall we see another 75bps rate hike in Dec '22 ?https://t.co/tNg6TYsLNc
— CF CryptoTech (@Cfhau1) November 1, 2022
Inflation is at a record high; thus, the Federal Open Market Committee of the central bank is expected to raise interest rates by 0.75 percentage points today for the fourth straight time. In addition, in December, investors will be looking for signs that the Fed is poised to decrease the pace of its rate hikes.
🇺🇸 Inflation
— ISABELNET (@ISABELNET_SA) October 31, 2022
The Fed's preferred inflation measure rose 0.5% in September, which is not good news
👉 https://t.co/h1N9R2c9oD
h/t @SoberLook #markets #pce #corepce#US #inflation #economics #economy #investing pic.twitter.com/rdWhXzvCfi
For the December meeting, futures markets predict a 49% possibility of a 0.75% point increase and a 44% chance of a lower increase of 0.5% points. Data reported on Tuesday showed a solid labor market, which could reduce the likelihood of a lesser increase in December if it continues. However, Tuesday’s futures market interest rate predictions showed little change from the previous day.
.@MarketWatch on @ISM #Manufacturing PMI®: “(The sector) has been slowing recently, led by softening business spending and fading demand for consumer goods. Economists think it is inevitable the (composite #ISMPMI) slips below the 50% threshold.” https://t.co/J7Y9pltup6 #economy
— Institute for Supply Management (@ism) November 1, 2022
According to the Institute for Supply Management’s factory activity index, manufacturing output fell marginally in October, which dropped to 50.2 from 50.3 in September. The markets had anticipated a number around 50.
The Federal Reserve has aggressively tightened monetary policy this year by raising its key policy rate from near zero to its current range of 3% to 3.25%, which has caused the blue-chip S&P 500 to fall from its record high reached in January.
Hence, the Fed press conference will be more important than its actual rate hike as investors will be looking for clues on the upcoming rate hikes.
Bitcoin Price
The current Bitcoin price is $20,476, and the 24-hour trading volume is $38 billion. Bitcoin has lost 0.1% during the Asian session as the market is lacking volatility ahead of the big event today. In the last seven days, the BTC/USD has gained over 1.5%.
CoinMarketCap currently ranks first, with a live market cap of $393 billion, down from $394 billion yesterday.
In the 4-hour timeframe, the BTC/USD pair is trading in an upward channel, with support near $20,300 and resistance near $20,700. The 50-day moving average is extending support near the $20,400 level, and candles closing above this line indicate that Bitcoin is in a bullish trend.
The RSI and MACD remain bearish, indicating a minor reversal in an uptrend. As a result, a bearish breakout of the $20,300 support level could push the selling trend all the way to the next support level at $19,950.
On the bullish side, a surge in Bitcoin’s demand may allow it to break through the $20,800 resistance zone and reach the $21,000 level. A further bullish breakout above the $21,000 level could take BTC to $21,450.
Ethereum Price
Ethereum’s current price is $1,584, with a 24-hour trading volume of $14 billion. In the last seven days, Ethereum has increased by more than 6%. Ethereum is now ranked secondon CoinMarketCap, with a live market capitalization of $194 billion, down from $195 billion yesterday.
On the 4-hour chart, the ETH/USD pair has established an upward channel, which is supporting it around the $1,550 level. Ethereum is currently closing Doji and spinning top candles, signaling indecision among investors.
Typically, an upward channel pushes an asset price higher, so ETH may trade bullish until the $1,660 barrier level. A bullish crossover above $1,656 might propel ETH to $1,720 or $1,805.
Leading indicators, such as the RSI and MACD, remain in the purchase zone. As a result, the likelihood of a bullish correction above $1,550 is still significant. Simultaneously, a breach below this level might expose ETH to $1,480 or $1,404 today.
New Crypto Presales
Dash 2 Trade is a brand-new cryptocurrency signaling platform that raised over $4 million in its presale to fund the development of its trading tool, which is aimed at enlisting a large number of retail traders and giving them some of the most powerful trading tools in the industry.
Rather than enabling trading hegemons to continue to dominate because of their monopoly on superior knowledge, Dash 2 Trade allows typical retail merchants to compete on a level playing field.
Following the presale, the business plans to launch its platform in the first quarter of 2023, with its D2T coin expected to be listed on numerous exchanges. The Dash 2 Trade presale is still going on; D2T tokens cost $0.05 USDT.
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