Bitcoin dips 8% from highs as trader demands BTC bulls reclaim $37.5K


Bitcoin (BTC) fell from multi-day highs on January 27 as the aftermath of the latest US Federal Reserve meeting saw bulls dampen their enthusiasm.

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BTC / USD 1-hour candlestick chart (Bitstamp). Source: TradingView

Bitcoin is disappointing below $ 37,500

Data from Cointelegraph Markets Pro and TradingView showed BTC / USD to recoup some of its gains, which exceeded $ 38,950 on Bitstamp.

The pair then refocused to $ 36,000, the level near which it was trading at the time of writing.

As momentum accelerated, market commentators began to expect a stronger weekly close, possibly including a challenge from the $ 40,000 mark. Now, however, the mood was noticeably less euphoric.

“Bitcoin declined by $ 38K and hit the first major level of support at $ 36K here,” said Michaël van de Poppe, a co-founder of Cointelegraph. summarize to Twitter followers.

“It may have a short-term rebound, but anything below $ 37.5K isn’t screaming for bullishness.”

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BTC / USD annotated chart with support and resistance zones. Source: Michaël van de Poppe / Twitter

Van de Poppe joined others in expressing dissatisfaction with the outcome of the Fed meeting, especially due to a lack of new insights and political information from President Jerome Powell.

“With inflation well above 2 percent and a strong labor market, the Committee expects it will soon be appropriate to raise the target range for the federal currency exchange rate.” statement of the Federal Open Market Committee read.

“The Committee has decided to continue to reduce the monthly rate of its net assets, discontinuing them in early March.”

With this, crypto markets had few macro indications to react, a paradigm shift in price behavior yet to emerge.

Cryptocurrencies exceed $ 300 million

Altcoins followed Bitcoin in a move to shed several percentage points on the day, again adding to the week’s overall losses.

Related: Bitcoin experts split on BTC floor as Bloomberg analysts bounce back

Ether (ETH) has fallen below $ 2,500, still down 22% over the past seven days.

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ETH / USD 1-hour candlestick chart (Bitstamp). Source: TradingView

Others fared a little better, with Dogecoin (DOGE) retaining most of its previous progress and Cardano (ADA) trading at $ 1.06.

Not all escaped unscathed post-Fed, however, with total transcript settlements exceeding $ 320 million, data from an on-line monitoring resource. Coinglass confirmed.

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Crypto-liquid diagram. Source: Coinglass