Bitcoin retreated from recent highs on Wednesday, ahead of the upcoming U.S. Federal Open Market Committee (FOMC) interest rate announcement. The Fed is expected to keep rates unchanged, despite inflation rising by more than expected in August. Ethereum also gave up gains in today’s session.
Bitcoin started the day trading marginally lower, as markets prepared for the highly anticipated Federal Reserve interest rate decision.
BTC/USD dropped to an intraday low of $26,918.32 on Wednesday, following a peak at $27,488.76 the day prior.
In addition to the rate decision, the FOMC will give an economic forecast, which could provide some forward guidance on future policy decisions.
One of the catalysts for the drop in price was the relative strength index (RSI), which fell below a ceiling at the 60.00 mark.
The index is now tracking around the 57.08 level, and is moving towards a support point at 55.00.
Overall, momentum remains largely bullish, with today’s decline largely due to profit taking ahead of the Fed announcement.
Bitcoin started the day trading marginally lower, as markets prepared for the highly anticipated Federal Reserve interest rate decision.
BTC/USD dropped to an intraday low of $26,918.32 on Wednesday, following a peak at $27,488.76 the day prior.
In addition to the rate decision, the FOMC will give an economic forecast, which could provide some forward guidance on future policy decisions.
One of the catalysts for the drop in price was the relative strength index (RSI), which fell below a ceiling at the 60.00 mark.
The index is now tracking around the 57.08 level, and is moving towards a support point at 55.00.
Overall, momentum remains largely bullish, with today’s decline largely due to profit taking ahead of the Fed announcement.