Bitcoin drops 2.6% to $58,000 as traders await Fed 📉

The biggest cryptocurrency extends downward correction today, with prices falling for a moment even $58.000 support zone. US dollar gains and USDIDX hits today the highest levels since November 2023 ahead of today FOMC decision (7 PM GMT) and Fed chair Powell speech (7:30 PM GMT). Bitcoin felt today to level unseen since the end of February 2024.  What's important is that demand from US ETFs is still very weak (net outflows), and Hong Kong ETFs debut were disappointing. BTC price declined also below major on-chain support level at $59,500 where average short term holders 'realized price' is located. During previous Bitcoin bull runs, this on-chain zone were often very important support. At the same time,

Source: xStation5

Bitcoin vs USDIDX

USDIDX is traded on the highest level since November 2023 and is rising constantly ahead of today FOMC. The history shows strengthening US dollar and 10-yr yields are pressuring more risky assets such as stocks and crypto.

Source: xStation5