© Reuters
Investing.com – The $25,000 zone continued to impede BTC’s upside over the weekend as Sunday’s latest test (high at $25,200) quickly gave way to a sharp correction that took BTC back to a low to $23,867 overnight from Sunday to Monday, after falling 5.3% in 8 hours.
Now back up to $24,440 at 7:30 a.m. CET, Bitcoin is down 1.3% over 24 hours, and remains up nearly 12% over one week.
$25,000 resistance and hawkish Fed penalize Bitcoin
Recall that Bitcoin and the cryptocurrency market as a whole held up well against rising Fed rate hike expectations, and unfavorable crypto news last week.
The better-than-expected US statistics and hawkish statements from Fed officials have indeed led the market to doubt that the Fed will continue to slow rate hikes.
As for crypto-specific news, note that the regulatory offensive has intensified, with many headlines proving that the SEC is increasingly active in hampering the industry. cryptocurrencies.
And although Bitcoin has avoided falling too far despite this backdrop, continuing to put pressure on the $25,000 resistance, the strength of this hurdle, confirmed by the multiple failures since February 16th, seems to be starting to make the bulls give up.
Things to watch for to get a good deal on Bitcoin this week
When it comes to events likely to influence Bitcoin and cryptocurrencies in general this week, it should be noted that the minutes of the last Fed meeting on Wednesday evening will be the most important appointment.
Indeed, this publication could have a decisive impact on market expectations for the next Fed meeting.
If the move towards a 0.50% rate hike for March 22, Bitcoin could plunge. If, on the contrary, the Minutes confirms the prospect of a 0.25% rate hike, cryptocurrencies could show a relief rally.
Bitcoin traders will also be watching Coinbase’s (NASDAQ:) quarterly earnings release on Tuesday as it is likely to shed some light on retail and institutional investor behavior towards the crypto market.