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Bitcoin trades sideways, macroeconomic factors may push price lower

The price of Bitcoin has fallen about 0.08% in the last 24 hours. It was exchanging hands at $26,229 at press time.

Bitcoin has continued to trade sideways as the crypto market succumbed to bearish pressure on Monday. The slump comes as macroeconomic catalysts loom for crypto in the next few days.

Bitcoin price falls

The price of Bitcoin has fallen about 0.08% in the last 24 hours. It was exchanging hands at $26,229 at press time.

At the end of August, the price of the pioneer cryptocurrency was trading above $28,000. The coin was struggling to reach the psychological mark of $30,000. But critical decisions like the delay of decision on spot Bitcoin ETF applications pushed the price lower till it crashed close to $25,000.

Around September 15, the price of Bitcoin extended bearish pressure and went below the $25,000 mark for the first time since mid-June.

Source: TradingView

Economic data suggests the US economy may not push the Fed to lower rates. Fed Chairman Jerome Powell will deliver a speech on September 28 with a median projection for the federal funds rate at 5.6% by year-end.

With the current rate at 5.25%–5.50%, the Federal Reserve may opt for another quarter-point by November.

Read more: Bitcoin: good Monday for pioneer crypto as open interest explodes

Next direction?

Many analysts and traders have differing views on where BTC price may head next.

Analyst Rektcapital said, “Bitcoin has since dropped (to $26,000 support). However, that doesn’t change the possibility of potential upside wicking beyond the Lower High resistance in the event of a 2019-style October return of +10% next month.”

The technical analysis of the price of bitcoin reveals that it is holding its position just above the crucial support level of $26,000. BTC might pursue the next objective of $26,500 and extend into $26,700 if the market successfully breaks over the immediate resistance at $26,200. A break below the upward channel at the $26,000 mark, on the other hand, might expose BTC to price falls approaching $25,500 or $25,300.

The predicted bull market would suffer significant damage from continued sliding beneath the main support level of $25,000. Investors may panic-sell and increase the selling pressure. Before another significant recovery takes shape, a modest sweep below $25,000 might turn into a full-blown sell-off below $22,000 and, if necessary, a retest of $20,000 levels.

Disclaimer: CryptoPlug does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.

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