After experiencing a significant decline to as low as $61K, Bitcoin has staged a notable recovery following the conclusion of the Federal Reserve’s meeting. The recent bearish trend in Bitcoin’s price was largely attributed to market uncertainty surrounding the Fed’s policy decisions, particularly regarding interest rates, which inevitably influence the broader cryptocurrency market.

Bitcoin Price Analysis

Bitcoin’s price currently stands at $67,070, reflecting a notable 9% increase from the conditions observed just a day ago. Despite this rebound, the cryptocurrency is still down by nearly 8% compared to data from previous weeks. The recent market volatility saw Bitcoin hitting a new all-time high of $73,750.07 before plummeting to $61,164 within a single day.

Updates From the March Fed Meeting

The conclusion of the Federal Reserve’s meeting brought relief to the crypto market as no changes were made to interest rates. The decision spurred a bullish sentiment, contributing to the surge in Bitcoin prices. The Federal Open Market Committee (FOMC) maintained the federal funds rate within the range of 5.25% to 5.50%, a stance unchanged over the past five meetings. However, the FOMC hinted at the possibility of three rate cuts later in the year.

The Fed’s report highlighted the expansion of the US economy, low unemployment rates, and rising inflation. The Committee reaffirmed its commitment to achieving a 2% target for CPI inflation. Despite optimistic projections, the Fed anticipates a gradual reduction in interest rates, with the possibility of the first cut occurring in June, backed by a 60% market probability.

Signs For Bitcoin Price Recovery With Bulls

With Bitcoin’s recent recovery, market analysts predict stability around current levels in the coming days, with potential for another all-time high by month’s end. Key resistance levels for Bitcoin now lie between $69,000 and $73,000, with support expected around the $65,000 mark. Additionally, anticipation surrounding the upcoming Bitcoin halving event is likely to bolster prices further, with some forecasts predicting Bitcoin reaching $80,000 before the halving, driven by FOMO.

The crypto market’s downturn amid the Fed meeting has come to an end, with Bitcoin’s price recovering to the $67K range. This resurgence has also positively impacted other altcoins, with notable gains observed across the board. Moving forward, Bitcoin is poised to target another all-time high and potentially reach the $80,000 mark before the halving event.