Bitcoin (BTC) Test $20k Support as Fed Hikes Rates by Another 75-Basis Point
In his November 2nd press conference, Federal Reserve Chairman Jerome Powell announced the interest-rate decision of the Apex bank. The 0.75 basis point interest rate hike caused the price of Bitcoin to tumble.
The hike, which took the Fed’s funds rate up to 3.75% – 4%, also took a toll on the price of Bitcoin. Shortly after the announcement, the price of BTC tumbled by as much as 2.1% to drop to an inter-day low of $20,087.
Although Bitcoin managed to recover in the hours that followed, to trade as high as $20,360, the leading crypto remains bearish. Bitcoin now trades at $20,160 and could be at risk of losing its critical $20k support.
Like Bitcoin, the stock markets reacted negatively to the update. The S&P 500 is down 2.5% on the day, the Nasdaq 3.39%, and the Dow Jones 1.55%.
Although the impact of the…
