Bitcoin was trading marginally higher on Wednesday as traders prepared for today’s interest rate decision. The Federal Reserve is expected to raise rates by 75 basis points for the second month in a row, as inflation in the U.S. continues to climb to 40-year highs. Ethereum was also in the green, recovering from Tuesday’s losses.
Bitcoin was trading slightly higher on Wednesday as markets anticipated today’s Federal Open Market Committee (FOMC) meeting. The world’s largest crypto-currency fell to an intraday low of $20,776.82 on Tuesday, however the asset rebounded somewhat today.
Currently, bitcoin hit an intraday high of $21,415.67 in today’s session, the bulls trying to stop yesterday’s fall.
Looking at the chart, prices are still trading below a key resistance point of $21,800, but have moved away from a floor of $20,600. This is usually the last line of defense preventing prices from falling below $20,000, and today’s bullish pressure seems to have prevented that, for now.
It looks like this happened just as the 14-day Relative Strength Index (RSI) broke out of its own support point at 45, and is now at 46.30.
On Tuesday, ethereum slipped below $1,400, but prices have now rebounded during the day’s session.Ethereum, which hit a low of $1,362.95 on Tuesday, is now trading at a high of $1,470.74.
The move comes as bulls look to reclaim a 10-day low of $1,500 that was in place before yesterday’s drop.
Like bitcoin’s current relative strength, the RSI indicator has risen from its 54.40 support point, and is approaching 56 now. This appears to be one of the technical factors behind today’s price rise, which now means that ethereum may soon be ready for another uptrend.
If ETH moves back above $1,500, the next target for bulls will likely be the $1,645 resistance point.