BTC Price Analysis Next Week: Will Fed’s Interest Rate Decision And Options Expiry Move Bitcoin Price?

Prominent analysts believe that the arrival of the Federal Reserve’s interest rate decision and expiration of a sizeable options contract could prove to be a defining week for the crypto market. Recently, BTC dropped below key support levels at the $30,000 and $31,000 marks; hitting the particularly significant $29,500 mark, and planting seeds for a potential collapse.

The Fed’s action on interest rates is a cornerstone in the investment community as it shapes the future value of the dollar — ultimately leaving an imprint on the Bitcoin price. The statements from CME Group promoting a 92% likelihood of a quarter-percent point increase set July 26th as a definitive date. Such an uptick— if the Federal Open Market Committee (FOMC) aligns— would nod to a target point of 5.25% to 5.50%; surpassing the two-decade peak.

Another focus rests on Bitcoin’s option expiry on July 28th, cementing a maximum pain point at $29,000. The open interest for call options stand at 45,083, clustered around targets of $30,000 and $31,000, with the nominal added up to a handsome $300 million. The put-to-call ratio rending its verdict at 0.55 and a cumulative nominal of ~ $2 B being monitored. Any an absence of enough price movement to climb $30,000 could add a domino of bearish pushes, almost certainly subjecting BTC to a dive beneath $29,000.

At this time, digital asset trading at $29,985 with partial traction to break above 30,000 flimsy. The intermittent prospect, could this give way to a break higher to $31,000 and beyond— leading to resuscitate of the upward trend above $32 500?

Robert Wilson author
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