Bitcoin (BTC) traded above $70,000 on March 29 as traders counted down the final hours of Q1 2022. The move came after the cryptocurrency had briefly stabilized at $69,000, a record high at the time, according to data from Markets Pro and TradingView.
Powell's Comments Boost Sentiment
Bitcoin rallied by around $1,000 during the second half of the day, apparently helped by comments from U.S. Federal Reserve Chair Jerome Powell.
Powell struck a dovish tone about both inflation and the economic outlook during an interview at the Macroeconomic and Monetary Policy Conference in San Francisco, California.
He stressed that the Fed was in no rush to raise interest rates, a critical development for risk assets.
"The economy is very strong, and the labor market is very, very strong, and inflation has been coming down," Powell said.
"We can be, and we will be, patient about this decision because we can."
Probability of Rate Hike in June
The market currently anticipates the first rate hike in June, with a 61% probability of a 0.25% rate increase at the Federal Open Market Committee (FOMC) meeting that month, according to data from the CME FedWatch tool.
Latest PCE Data Supports Powell's Cautious Tone
Personal Consumption Expenditure (PCE) data widely known as the Fed's preferred inflation measure came in line with expectations at 2.5% on March 29, a U.S. market holiday.
Bitcoin Price Analysis
Focus remains on weekly, monthly, and quarterly candle closes as Bitcoin attempts to overcome resistance levels.
For popular trader and analyst Rekt Capital, the $69,000 level remains significant a weekly close above it would mark the highest weekly close in Bitcoin's history.
"BTC continues to coil & crab within this range until the weekly candle closes," he predicted on X (formerly Twitter).
"Weekly candle close above the ~69k prior ATH would take BTC closer to a breakout. Until then, it's ranging."
Others are eyeing positive on-chain signals, with trader and analyst Kevin Svenson highlighting the Moving Average Convergence Divergence (MACD) oscillator on the daily time frame.
A chart posted to X described the MACD as "about to cross bullish," an event that has historically coincided with BTC price breakouts toward all-time highs near $74,000.
Disclaimer: This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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