It’s been a while that Bitcoin price action is not moving above $23,000 as the momentum has been switching between $19,000 and $20,000. The flagship currency has brought down most other cryptocurrencies.
At the time of publication, Bitcoin is selling at $19,834 with a pinch of surge by 0.50% over the last 24hrs.
The upcoming days for the crypto market is also dependent on the US Federal Reserve’s rate hike that is scheduled on September 21st. The Wall Street experts are of the opinion that the Fed will go ahead with a decision to raise the interest rates by another 75 bps.
Bitcoin Price To Bottom ?
Bitcoin price action for the days to come could be known with the help of on-chain metrics like Realized price, Delta price along with Thermo price. Nevertheless, though these help in future prediction, the real picture of BTC price movement is obtained by technical and macroeconomic factors.
The popular on-chain price model to predict a Bitcoin price bottom is realized price. This value represents the most recent change in the average price of all Bitcoins in creation. As previously seen, Bitcoin has always plunged below the realized price and if Bitcoin continues to do so, other metrics will determine the action. At present, the realized price sits at $21,592.
While the earlier Bitcoin price action is considered for Delta price, BTC has a history of trading below this metric seen in 2015 and 2018 market correction. At the moment, Delta price is positioned at $14,478 and this points that Bitcoin is set to register another 28% drop from its current position.
The last one, Thermo price indicates Bitcoin bottom at $2,365 and with an increase in Bitcoin addresses, the price is most likely to settle at the said range.
Meanwhile, the Federal Reserve’s upcoming decision to increase the interest rates will all depend on CPI and employment stats for the month of August. The likelihood of a 75 bps rate increase is 67%, according to the CME FedWatch Platform. Wall Street banks anticipate an additional 75 basis points in September.
August month’s US job data reveal that the employment rate has dropped to 315k from July’s 528k. Conversely, August’s unemployment data has spiked to 3.7%. However, the CPI stats will ultimately influence the decision on interest rate raise this month.
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