Crypto green days: With the FOMC interest rate hike just around the corner, major cryptocurrencies are forming top charts.
All crypto market capitalization and Bitcoin are forming potential bullish patterns, while the interest rate is expected to increase by 75 BPS on Wednesday.
FOMC interest rate hikes
The FOMC interest rate is scheduled for Wednesday, November 2, 2:00 PM EST. Fed Chairman Jerome Powell will give a closing speech at 2:30.
The FOMC is likely to raise interest rates for the sixth time in a row. The increase in interest rate is 75 BPS. Generally, when the interest rate hike comes out as expected, the market behaves neutral or positive. But bearish on the market if the move is more than expected.
Top up example in Total Cap Crypto Market
Total Crypto Market Cap forms a potential head and shoulder pattern with a collar around $929.40 billion. The map shows that the left side and head are included.
The price, as written, is $967.12 billion. It can take the support of the neck and give it a little bit to make the right arm. If the right side closes below the collar after forming, the crypto market is expected to bleed.
Top Double in Bitcoin
Bitcoin price did not break above the 0.382 Fibonacci level at $20,850. A daily close above was needed for Bitcoin to continue the current rally.
However, at the time of writing, the Bitcoin chart is forming a potential double-top pattern with a collar at the $20,000 level. The $20,000 level has proven to be strong support, not to mention psychological support.
If the interest rate hike is more than expected, Bitcoin may break the $20,000 support. A breach of the support will cause Bitcoin to visit the $19,000 level once again.
If the FOMC Interest Rate Increase goes as expected, there will be some big sentiment, or it won’t have a significant impact on the markets. But, if the interest rate hike is 50 BPS, there is a high probability that the broken patterns will be cancelled, and the market will continue its upward trend.
Do you have anything to say about the FOMC interest rate hike or anything else? Write to us on our Telegram channel or join the discussion. You can catch us on Tik Tok, Facebook, or Twitter.
For the latest BeInCrypto Bitcoin analysis (BTC), click here.
All information available on our website is published in good faith and for general information purposes only. Any action that readers take on information found on our website is strictly at their own risk.