BTC may be ready for its next up-leg starting Wednesday, April 28, when the upcoming US Federal Reserve (central bank) meeting concludes. The Fed's press conference at the conclusion of these meetings often moves markets, as the Fed Chairman answers questions about the economy and reaffirms the Fed committee's very dovish position.
The last few Fed meetings have been good to BTC, as noted in the chart (purple arrows). Why is this? Because the Fed has been very accommodative to the economy, keeping interest rates at rock bottom, and continuing its bond buying program which pumps billions of USD into the economy every month. What really pumps BTC higher is the Fed's desire for more inflation, which weakens the USD, and lifts all instruments priced in USD, including BTC.
BTC's current slump looks very much like last January (left blue line). Notice what ended January's downslide? The Fed's meeting on January 27.
It is very possible that this upcoming Fed meeting and press conference scheduled for Wednesday, April 28, will mark the end of the current downslide and the beginning of the next up-leg.
The last few Fed meetings have been good to BTC, as noted in the chart (purple arrows). Why is this? Because the Fed has been very accommodative to the economy, keeping interest rates at rock bottom, and continuing its bond buying program which pumps billions of USD into the economy every month. What really pumps BTC higher is the Fed's desire for more inflation, which weakens the USD, and lifts all instruments priced in USD, including BTC.
BTC's current slump looks very much like last January (left blue line). Notice what ended January's downslide? The Fed's meeting on January 27.
It is very possible that this upcoming Fed meeting and press conference scheduled for Wednesday, April 28, will mark the end of the current downslide and the beginning of the next up-leg.