Despite an attempt to rebound on Friday towards $100,000, after being close to $92,000, Bitcoin remains under pressure. Friday's rebound was partly fueled by comments from a “dove” member of the Fed, known for his statements that are generally more dovish than the sentiment within the Federal Reserve.
The stock and crypto markets in particular were sensitive to his comments but it seems unlikely that this will change the sentiment that emerged after Jerome Powell's intervention and the Fed's new quarterly projections last Wednesday, less favorable regarding the trajectory of inflation and the number of anticipated rate cuts, which have accelerated the rebound in US rates.
If we take the entire wave of increases from September to December, a wave catalyzed first by the rather accommodating Fed meeting in September, then by anticipations of the American election and the return of Trump, as well as by the spreading the idea that companies should put Bitcoin on their balance sheet, prompted by Michael Saylor of MicroStrategy, a breather seems necessary and the Fed was able to provide the impetus.
A return to $87,000 (Fibonacci 38.2% of the entire upward wave) would not seem exaggerated given the progression of US rates and the strength of the dollar. The $80,000 hypothesis could also emerge because it is the confluence of the oblique passing through two high points of 2021 and the 50% correction level of the entire upward wave from September to December.
