Bitcoin Uncertainty Zone: Can BTC Escape No Man’s Land?

Bitcoin Uncertainty Zone: A Volatile Move Incoming?

On March 17, the price of Bitcoin failed to break above the $85,000 resistance level once more. Since March 12, the price of Bitcoin has been unable to close above $84,600, forming daily candle highs between $84,000 and $85,200.

The lower time frame (LTF) of the one-hour chart shows that Bitcoin is still in no man’s land. A price range where movements are marked by uncertainty, high risk, and dynamic tension as a result of outside events and divergent market sentiment is referred to by this term in trading markets.

FOMC Meeting Sparks Bitcoin Uncertainty: Volatility Incoming?

The Federal Open Market Committee (FOMC) meeting is scheduled for March 18–19. Over the following several days, markets may witness erratic price fluctuations toward important Bitcoin price levels. The interest rate announcement is scheduled for March 19 at 2:00 PM ET.

CME’s FedWatch tool indicates that there is just a 1% possibility of a 0.25% rate drop, with a 99% chance that current interest rates will stay between 4.25% and 4.50%. Market participants, however, generally assume that any negative price movement resulting from stable interest rates is already priced in. As a result, US Fed head Jerome Powell’s statement at the FOMC is the main focus of the market. Powell is probably going to take a hawkish position in light of the most recent statistics.

Bitcoin at a Crossroads: $85K Resistance and the Risk of New Lows

To reach greater highs at $90,000, Bitcoin has to turn the $85,000 resistance level into support. BTC/USD must first move back above the 200-day exponential moving average (orange line) on the 1-day chart in order for this to occur. For the first time since August 2024, the price of Bitcoin fell below the 200-day EMA on March 9.

The possibility of new lows below $78,000 can rise as the bears try to hold the $85,000 resistance in place. The previous all-time high from early 2024, or $74,000, is the immediate objective below previous range lows. With a daily order block, the next important area of interest below $74,000 is still between $70,530 and $66,810. All of the “Trump pump” gains would be erased if the price reached $69,272, which would be a retest of the US election day price.

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