According to the company, the fact that the Bitcoin price tested $80,000 for the third time in three weeks has made this level a critical threshold.
At this point, according to the company, if $80,000 is permanently lost, the next major support will be $76,000. A break below this level could risk Bitcoin falling to the lows of $70,000.
FED Interest Rate Decision Will Be Decisive!
Wintermute stated in its assessment that the short-term direction of Bitcoin is closely watched by the FED interest rate decision to be announced on October 28th. According to the company, while the market expects interest rates to remain unchanged, the messages given regarding the possibility of an interest rate hike in December could be decisive for the market.
At this point, according to Wintermute, signals from the Fed indicating tighter monetary policy could raise bond yields, creating selling pressure on Bitcoin. Conversely, leaving options open for December could pave the way for $BTC to recover to the $82,000-$82,500 range.
Wintermute also added that personal consumption expenditure (PCE) inflation data, to be released on October 29, will also be in the focus of the markets.
Finally, the company stated that it is not entirely pessimistic about the overall outlook, but will maintain a cautious approach until Bitcoin regains $82,500 and critical macroeconomic developments are behind us.
*This is not investment advice.
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