Bitcoin Erases Fed Losses As Traders Eye $40K BTC Price Target
Bitcoin (BTC) returned to near $29,000 on March 23 as bulls ignored news of a fresh US regulatory crackdown.
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Data from Cointelegraph Markets Pro and TradingView showed BTC/USD up nearly 8% from overnight lows to challenge nine-month highs on Bitstamp.
The pair kept volatility on track as the dust settled on the previous day’s interest rate decision and related comments from the Federal Reserve.
Despite Fed Chair Jerome Powell giving mixed signals about how and if interest rate hikes would continue, crypto market commentators argued that the sudden fall witnessed by Bitcoin had been over-the-top.
“Be sure to remember the panic and calls for lower the next time you get a dip during an HTF uptrend,” popular trader Crypto Chase wrote in part of the Twitter analysis.
Among those now looking at the continuation of the uptrend was Crypto Ed, who saw Bitcoin filling its retracement zone.
The next stage up should start pic.twitter.com/3spyz52ct0
— Ed_NL (@Crypto_Ed_NL) March 23, 2023
Sentiment even managed to stay positive despite news that the US regulator the Securities and Exchange Commission had begun targeting crypto firms, particularly Coinbase, whose shares fell 20% at the Wall Street open.
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The reported arrest of Do Kwon, founder of blockchain firm Terraform Labs, responsible for the 2022 Terra implosion, also failed to dampen performance.
“You can try to wither it, but we’ll just keep sending from here,” Kaleo interjects added in the latest of his characteristically bullish BTC price hikes, after reiterating that $40,000 was a “magnet” price target.
Risky assets are coming back with a bang
Bitcoin and cryptocurrencies like Litecoin (LTC) weren’t the only assets to rebound on the day.
Related: US law enforcement agencies turn up the heat on crypto-related crime
US stocks tried to cancel their own post-Fed losses, with the S&P 500 up 1.2% on the day at time of writing.
Gold, meanwhile, hit $195.15, gaining an impressive 3.1% against the previous daily lows and closing in on a rematch of $2,000.
“We are still in the vacuum of relief, the “Ekko” bubble. The period where the potential process of stopping rises remains bullish and there is no clear recession, before the reality starts, says Cointelegraph contributor Michaël van de Poppe, founder and CEO of trading company Eight, in summary.
Van de Poppe agreed that $40,000 was now a long-term target for BTC/USD.
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