Bitcoin trader warns of 'bearish reaction' to FOMC with $64K now essential
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- Bitcoin fell below $65,000 on Wednesday, hitting intraday lows of $64,782 on Bitstamp ahead of the FOMC's 2 p.m. Eastern rate decision — the week's main volatility catalyst.
- Kevin Warsh chaired his first FOMC meeting, with his post-meeting press conference seen as equally important to the rate outcome; Warsh had faced pressure to cut rates despite the inflationary impact of the US-Iran war.
- Trader Killa warned BTC has historically generated "far more bearish reactions than bullish ones" around Fed days and said holding $64K is essential, or BTC revisits $60K lows.
- Niels, co-founder of marketing agency STABL, held a $55,000 BTC price target, arguing the FOMC coincides with a looming US-Iran peace deal and any pre-meeting strength is temporary.
- Cryptic Trades offered a contrarian bullish view, noting BTC rejected at two moving averages that form Bitcoin's daily bull market support band and predicting "the next big leg up" after the pullback.
- Bitcoin had already lost momentum on Tuesday even as stocks rose on Iran relief, with prior analysis warning demand remained subdued above $67,000.
Why it matters: Warsh's debut as Fed Chair makes his press conference as consequential as the rate vote itself, and traders are treating $64,000 as the technical line that determines whether BTC retests $60K or sets up a rebound — a break below would invalidate the current bullish market structure and validate the $55,000 downside target carried by STABL's Niels.
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